Car Insurance

Most people are careful about insurance, and particularly about car insurance-often over-insuring themselves "just in case".

It´s easy to buy more coverage than you need and as a result pay more than necessary.

To get more bang for your buck, first find out what kind of insurance is required by state law. Once you know what the law requires, then you can evaluate your personal requirements.

To protect your assets, buy what you need. If you´re still making payments, you need enough insurance coverage to satisfy the company financing your car, which might include "gap" insurance to cover the difference between what you owe and the cost to replace the vehicle. If your car is old, but attractive to thieves, purchase comprehensive insurance. If you honestly evaluate you own driving skills and know you have a lead foot or bad timing, maybe you should get collision. Each driver is different, so your insurance needs are going to be unique.

If the first rule of car insurance is to know your needs, the second rule is to objectively evaluate your insurance carrier. Check with the state organization that governs insurance companies. Verify that they are stable with few consumer complaints. Each insurance company carries several ratings, such as Dun & Bradstreet. Also, get recommendations from friends, and check with your mechanic as well.

When you´ve completed your homework, you´ll be able to save hundreds of dollars a year by purchasing a car insurance policy that meets all of your needs for a price you can live with.