How to Know if You Are Getting the Best Car Insurance

Car insurance policies come with a broad range of features – some of them are important, and others are less so. The best car insurance policy is defined by the type of coverage that the policy affords, and not so much by the amount of money you pay. That’s not to say it’s not important to get a good deal but in your search for the best policy you want to ensure that you’re covered if the worst happens. Here are some things you should expect from your car insurance policy.

License: Creative Commons image source
License: Creative Commons image source

Liability Coverage

Liability coverage is a must have for all motorists. This coverage will take care of the costs of any damage that occurs to another vehicle when you’re involved in the accident. The best way to protect your assets and your financial future is to take out sufficient bodily injury and property damage liabilities. Those should be enough to pay for the medical expenses of everyone involved, and replace the damaged vehicle if necessary.

Collision Insurance

The best insurance policy will also include collision coverage. This is not a requirement in some places, but it is coverage that every good policy should have. It will cover the costs to repair or replace your vehicle if you’re involved in an accident where you’re at fault. Comprehensive insurance is also extremely beneficial because it will pay the cost of replacing the vehicle if it’s damaged by anything outside of an accident – fire, natural disasters, and theft are some examples.

Uninsured Driver Coverage

Does your car insurance include uninsured driver coverage? If not, it’s something that you should reconsider. Driving without insurance is always illegal, but some motorists put themselves and other motorists at risk by driving on the roads without insurance. If you’re involved in an accident with one such motorist, the uninsured driver coverage will take care of the medical bills for you and any passengers in the car. It will also pay the cost to repair or replace your vehicle.


Considering the elements of any great car insurance policy, what is a fair price to pay for such coverage? Expect to pay more than the amount you’ll get on the cheapest quote, but that doesn’t mean that you have to pay a fortune either. Don’t let the price of the policy be your deciding factor when it comes to auto insurance. Get several quotes from different companies, and see what credits you’re eligible for in order to reduce your premiums.


You scored a cheap policy, but what happens if the company is not around to pay for your claims? The reputation of the company is something you should be concerned about. If you don’t recognize the company as a trusted leader in the industry, you should look them up on independent rating agencies to determine the company’s financial strength. Generally this is a free service offered to consumers. The best car insurance policy is one where you have the security in knowing that your claims will be paid.

About the Author: Gillian Kearney has extensive experience in the auto insurance sector. Her articles mainly appear in personal finance websites.

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