State Laws and Your Auto Insurance
Did you know that the laws your state has in place can affect the types of auto insurance coverage you have to choose from? There are basically two auto insurance systems, a tort system and a no-fault system.
- Tort System: This system requires whoever is at fault for an accident to cover damages and injuries to the other party. In other words, if you cause an accident you are liable. With this type of auto insurance system you will be able to purchase uninsured motorists insurance, bodily injury and property damage liability coverage. Your state will usually require a minimum level of liability insurance.
- No-Fault System: This is exactly what it sounds like, no one is at fault for an accident, but their injuries and damage are taken care of by their own auto insurance policy no matter who caused the accident. Insurance varies under this system but you will often need to purchase some sort of personal injury protection (PIP) or medical payments coverage.
No matter what system you are under, you'll want to get multiple auto insurance quotes before you choose a policy. This will help you to save money and find the best deals available. Use InsuranceBureau's online form to receive quotes from auto insurance providers in your area.
Sources
- 10 Things You Should Know About Buying Auto Insurance. Retrieved April 21, 2008, from http://www.naic.org/consumer_auto_ten_tips.htm
|
|
