If money is not an issue and security is taken care of, then most probably every driver in the world will choose full coverage car insurance all the time. The premium can get pretty expensive but the policy holder will be covered in all aspects when an accident or an unforeseen damage happens. The insurer will settle:
1. Medical and hospital bills of all persons injured: those riding in the insured vehicle, innocent bystanders, and driver/s & passengers of the third-party vehicle/s;
2. Repair costs on insured car;
3. Repair costs on third party vehicle;
4. Damages to properties, private or otherwise; and
5. Damages to the insured car caused by uncontrollable and unforeseen event like calamities.
As already mentioned, full coverage car insurance would have been nice to have under your belt but it also entails costs that may affect your household budget in a major way. For this reason alone, not everyone buys the full coverage car insurance. Most everyone goes along and just purchase a basic product required by law before a vehicle can be registered with the DMV, and that is third party liability. The limits of this product will cover personal injury or death of the other party’s driver and passengers as well as the cost of damages incurred to other party’s vehicle. Coverage for personal injury is normally advised for additional protection so you will have something to charge your and your passengers’ medical bills to. And then there is collision coverage that will shoulder the expenses of repairs to your car no matter who caused the damages.
You can still opt for full coverage car insurance and hope that your insurer will give you discounts to lessen the premium. A lot of insurance companies work around their rates to give their respective clients a promising and irresistible quote. First off, they consider you mileage and driving history. Your chances of getting a price cut are slim if you have been collecting traffic violation tickets for the past few years. The amount of driving you do per year affects your rate because it equates to the amount of time you spend on the road when you are susceptible to accidents. Therefore, avoid long drives as much as you can and limit your driving activities around the community if you can afford it. Lastly, use a basic and low-end car that is equipped with safety features like alarms and anti-theft devices. There are actually other factors but these are just some of the basics.
Bottom line is, when you are a responsible enough adult, chances are you will be eligible to pay lower for your premium.