Car insurance varies widely and there are so many options available that it can be hard to determine what insurance is right for you. You don’t want to be underinsured but you also don’t want to pay more for insurance you do not need. The first thing you will want to consider are options. All states require liability insurance, a coverage that covers damages to the other car involved in an accident. However, you may want to protect your car as well. If you rely on your car, have a car loan, or have a newer or more valuable car, you will want comprehensive and collision coverage for your own car. Comprehensive insurance covers theft, vandalism, and other non-accidental damage. Collision insurance covers your costs for repairing or replacing your car in the event of an accident. How much coverage you should get will depend on the value of your car. If you have a newer car or a car loan, you may also want to get uninsured motorist coverage, which covers you in the event that you are in an accident with someone who does not have adequate coverage.
You will also need to determine your deductible. This is the amount you will pay out of pocket in case your car is stolen, damaged, or in an accident. The more you are willing to pay in deductibles, the lower your premiums will be. Also, look for other ways to lower your car insurance costs. In many cases, you can get a better price just by calling around to different insurance companies. Some companies will also offer hefty discounts if you insurance multiple cars with one insurer or you insure your home and car with the same insurance provider.