Insurance is very expensive today. The state of Montana has made auto insurance mandatory and therefore, every motorist must have it. Every motorist has to comply with the financial responsibility laws. These laws ensure that every motorist is able to pay for damages caused, if he is involved in an accident. The tort system also allows for a not at fault driver to sue an at fault driver. This just makes auto insurance all the more necessary.
The minimum liability fixed by the state of Montana is of the form of 25/50/10. This stands for twenty five thousand dollars for bodily injury per person and fifty thousand dollars for bodily injury in total covering two people. The property damage coverage should be for an amount of ten thousand dollars. Bodily injury coverage is used to pay for any and all medical costs incurred by the victim of the accident. Property damage will cover the costs of repair and replacements of the car. It will also cover the costs of any damages caused to buildings, fences or even lamp posts.
While these are the minimum sums fixed, an accident will cost a lot more. Ideal insurance coverage for most of the accidents today would be a hundred thousand dollars for bodily injury per person and three hundred thousand dollars in total. People prefer to buy property damage for an amount of fifty thousand dollars instead of the ten thousand. These are large sums of insurance and will cost you a lot. This article focuses on a few tips and discounts that one should be aware of while shopping for auto insurance.
The most common discount used is the multi vehicle discount. Most of the houses in the United States have two or more vehicles. If you get each of these vehicles insured by the same vendor, he is bound to offer you a discount. It is also common to get multiple insurances from the same vendor. People couple insurances such as health and auto or life and auto to get a discount. Review your finances and decide which insurance coverage policies you might need and buy them together.
Good students are bound to get you a discount. Many companies today offer a discount if the house hold has a student and his grades are high. This encourages the student to study well. The student will also be at an advantage as students are generally considered to be rash drivers. They will be charged high premiums and a discount will help him a lot.
People, of ages greater than fifty and lesser than sixty five, are very safe drivers. These people will be given discounted rates. Take care to ensure you have a clean driving record. Insurance companies check the driving record of applicants over the past three to five years. A god driving record will mean a lower risk and a discount. Drive in a carpool. Most of the insurance companies will offer discounts for people who drive in a carpool. You will get a discount on auto insurance, save on fuel and do you bit to save the planet as well.