Auto insurance includes a number of components today, allowing you to tailor a policy that directly applies to your specific needs. However, the many choices can also make it confusing to know which coverage you need and which you don’t. This article will shed some light on auto insurance coverage in Massachusetts. We will tell you which coverage is required, which is important and what you can live without.
What is Required?
Every state has a list of requirements that all drivers must include in their auto insurance policies. In Massachusetts, there are four distinct components that you must purchase by law. These include bodily injury liability that protects other people that might be injured or killed by your vehicle. Property damage liability offers protection to the property of others that is damaged by your vehicle. The coverage might include other autos, fences or structures on a property.
Uninsured motorist bodily injury covers you if you are injured by another driver who is not insured. Personal injury protection also covers the cost of your medical bills if you are hurt in an accident, no matter who was at fault. All of this coverage is required under Massachusetts state law. The rest of your insurance policy options are up to you, and are based on your personal needs and budget.
What is Important?
Beyond these basic requirements, many drivers also opt for insurance coverage for their vehicles. This coverage usually falls under collision and comprehensive insurance. Collision insurance provides funds to repair your car if it is damaged in a collision accident. Comprehensive insurance extends that coverage to damage done through natural disasters or theft. To accompany this coverage, many insurance companies also offer coverage for towing services and rental car.
What can You Live Without?
Once you’ve determined the coverage you must have, you can decide what you can live without. For example, older cars often do not require comprehensive or collision coverage. A good rule of thumb is if your car is worth less than 10 times the premium, you may not need the coverage. To find the worth of your car, check Kelley’s Blue Book online or talk to a bank or auto dealer that works with auto financing.
Insuring your car can be an expensive venture, but there are ways to trim the fat from your insurance policy. By understanding what you must have and what you can live without, you can tailor a policy to your unique situation.