The answer is yes of course but it all depends on which state you live. Majority of the states implement a very strict car insurance law and when not followed, could lead to heavy fines and penalties, revoked driver’s license, impounded car and a police record. On top of that, in case of car accidents caused by you, you have to spend thousands of dollars to compensate the damages you’ve caused to other cars and other people possibly hurt which could go up to thousand of dollars. So needless to say, insurance is one very important thing any driver should have.
Now, I have decided to finally get insurance but not so sure on what is the best liability policy limits.
It is a fact that the state minimum policy limits are not enough. For most of the insurance professionals, the best liability limits are 100/300/100 for average drivers and if you have to interpret the figures, it would mean 100, 000 for body bodily injury per person, 300,000 for bodily injury per accident and 100,000 for property damages per accident. One recommended thing for you to do is get a higher limit if you think that you live in a place prone to accidents.
I am not the sole user of my car, so is anyone using my car covered by the insurance?
Yes, in most cases so long as the other users are given the permission by the insured to use the car. If there are multiple users of the car in your household, make sure that everyone should be included in the policy provided that they have a license.
While shopping for the right coverage I came across two types of coverage, collision and comprehensive coverage, what is the difference between the two?
Collision coverage covers the damages you inflicted to another car. As the name implies, the policy compensates for collisions that occurred between your car and another car. Comprehensive coverage covers for any other damages except for car collision like theft or fire. For people who use their cars on a regular basis, they usually are under both coverage policies.
For some other questions, feel free to ask your agent for things not too clear to you.