American Automobile Insurance Purchase Process [2024] Detailed concept of American Auto Insurance

American auto insurance is compulsory in many states.Not only must you buy it, it is best to buy a certain amount of insurance to ensure the financial security of the family.Buying a car insurance is to use the vehicle in the future.Regardless of the collision, scraping, or car theft, or even personal injury, it can get different degrees of claims and assistance in the auto insurance terms.

What do you need to pay attention to when buying in American auto insurance?How high to buy?After reading this article, you will understand:

Directory of this article

• Common issues in buying American car insurance
• American car insurance term
• 3.American Automobile Insurance Company Ranking
• 4.American auto insurance purchase process
• Minimum car insurance for compulsory car insurance in the United States
• More American life

hint: We write Buy a car strategy It has always been a must-have manual for everyone’s favorite car, and there are a lot of reading every day.

Common issues in buying American car insurance

Question 1: How much insurance should American car insurance buy?

As a fixed expenditure of monthly (half a year or every year), you will definitely have a certain budget plan for car premiums.As a guarantee for the accident of driving accidents, the higher the amount of insurance purchased, the higher the guarantee, and the compensation will be higher when it encounters problems.

So, how much car insurance to buy is appropriate?

• From our own experience, if the budget allows, you should still buy the Collision and Comprehensive, and at the same time, ensure a certain amount of Liability (liability insurance).Of course, buying full insurance and high-guarantee Liability requires more premiums every month.
• If the budget is very limited, you can only buy the most basic Liability (liability insurance), which is the minimum car insurance for the US law firm.When an accident occurs, if you have a wrong party, the insurance will make certain compensation for the other party.
• The next step is based on your own vehicle conditions.If the vehicle situation is old, you can not be insured without collision risk and compassion.On the other hand, some vehicles with good safety facilities will get a certain discount when buying insurance, which needs to consult a car insurance company in time when purchasing.
• Furthermore is your own vehicle frequency.If the vehicle is not used high and your driving style is also a defensive driver, then you may enjoy a certain discount on your premium.Secondly, you can consider increasing the deductible in the insurance, so the premium of the expenditure will be reduced accordingly.

Therefore, the height of insurance costs depends on your budget, driving style, vehicle frequency, and so on.Before asking insurance costs, you should first clarify your needs.

Question 2: How much is American Auto Insurance for about a month?

If you only buy Liability Coverage stipulated in the laws of each state, the car premiums may ranging from $ 13 ~ $ 55 a month, and the specific amount will be different according to different car insurance companies and different states.

When other insurance terms are added, the insurance price will begin to cause a large difference.If the main car insurance categories are purchased, the rough range of monthly premiums may ranging from $ 58 ~ $ 128 without using various discounts.

Price differences mainly depend on the insurance company and the insured of the insured themselves, such as the age, driving style, vehicle situation, and past claims of the insured.

Therefore, before you put in the insurance, you must first understand your own situation, and then compare between multiple insurance companies.Only when the goods are compared with three companies can we find the most cost-effective car insurance.

The following is my premium using Geico.This premium is the expense of two cars in half a year: $ 703.50/half a year(October 2021 ~ April 2022)

Question 3: What factors will affect car insurance premiums?

Automobile insurance may be related to factors such as the gender, age, marriage status, occupation, credit scores, etc.of the insured person.At the same time, it is also related to the models and years of the car.

Generally speaking:

• The older the insured, the lower the premium; the
• The married insured will be relatively low;
• Insured people with high personal credit scores are often low in premiums;
• The premium of the insured of the daily car is often higher than the insurer who drives occasionally;
• The cost of the insured in the crowded cities living in transportation will be higher than the insurer who lives in the suburbs;
• The higher the safety factor of the car, the lower the premiums, because the accident is lower, such as the car installation of anti-theft alarm device, anti-braking lock device, tire pressure detection system, blind spot detection system, and road switching warning systemetc;
• New cars are often higher than the premiums of old cars, because once unexpected situations, the maintenance costs of new cars are usually higher than the old car;

Different insurance companies often provide a variety of different discounts.Although they are suspected of promotions, they can indeed give you a silver.Here are several types of car insurance discounts you may hear:

• If you have several cars to buy insurance together, you can often use Multi-Car Discount discounts;
• When buying house insurance, ship insurance, or other insurance at the same time, you can enjoy the Bundled Discount discount discount;
• Automotive insurance companies may provide Loyalty Discount discounts for their long-term loyal customers;
• For young drivers, premiums are usually very high, but if you have received qualified driving courses, you can enjoy Driver Training Discounts discounts;
• DEFENSIVE DRIVING DISCount is often a discount provided by the insured over 50 years of age.If your age is over 50 years old and takes a specific car driving course, you may enjoy this discount;
• For outstanding students with grades above B, they can often enjoy the Good Student Discount discount benefits;
• Family members of soldiers, employees of federal government, veterans, and even public officials can enjoy the exclusive Milital and Federal Employee discount;
• In the context of supporting environmental protection, buying environmentally friendly energy-saving vehicles, some auto insurance companies will provide Economy Car Discount discounts.For example, if your car is Toyota Prius, because this car is a hybrid power type, you may get a certain amount of quota with a certain amount.Discount;

Question 4: What are the good car insurance companies in the United States?

Buying a car insurance must find a reliable insurance company, because a reliable insurance company can provide timely and effective assistance and smooth claims services.At present, there are mainly the following good auto insurance companies in the United States:

• Geico
• Progressive
• AllState
• State farm
• Nationwide
• Liberty Mutual
• Farmers
• Travelers

Of course, each auto insurance company will have their own characteristics, as well as the charging price of various types of insurance types in automotive insurance, the details of the regulations, etc., consult a few more before buying, obtain the quotation and terms, and buy it.car insurance.

American car insurance term

When buying car insurance in the United States, you are likely to contact the following important concepts:

Premium

The insurance premium is the fee paid to the insurance company regularly to maintain the insurance company after purchasing insurance.According to different policies, the insurance premium can be paid on a monthly basis, a quarterly payment, paid every six months or year-on -year.

Liability

Liability coverage, Liability.This is the car insurance project compulsory purchased by the vast majority of the United States, including:

• Bodily Injury Liability (BIL), personal injury liability insurance
• Property Damage Liability (PDL), property damage liability insurance

Liability The underwriting content is that when a traffic accident occurs, if the responsible party is itself, then Liability will pay the other party’s personal damage, such as medical expenses, and property losses, such as maintenance costs and property losses.

Note: Liability will not compensate their losses.Because Liability only guarantees the party in the accident, it is usually called “semi-guarantee”.

Liability’s compensation expression is usually composed of 3 numbers, such as 10/30/20, which means that the compensation occurs:

• The other person’s single person’s body injury liability insurance has paid up to $ 10,000
• The maximum payment of the maximum payment of the other party’s damage liability insurance is $ 30,000
• The maximum compensation of the other party’s property loss liability insurance is $ 20,000

Different states in the United States have different compulsory requirements for Liability Coverage.For example, the Liability required by Texas is 30/60/25.

You can check the minimum insurance requirements of various states in the United States.

Uninsured and Underinsured Motorist COVERAGE

Uninsured and Underinsured Motorist COVERAGE, For short, UM and UIM.

UM is “insurance-free driver insurance”, which means that in the accident, the responsibility is on the other party, but when the other party does not purchase insurance or an escape occurs, the insurance will be responsible for reimburse their own losses.Like liability insurance, UM also has Bodily Injury (UMBI) Personal injury liability insurance and Property Damage (UMPD) property loss liability insurance are usually the same as Liability.

UIM is “insufficient driver insurance”.It means that in the accident, the responsibility is in the other party, the other party has insurance, but the insured amount is not enough to pay its own losses.At this time, UIM will intervene in the remaining part.

UM and UIM are also compulsory purchase insurance in some United States.

For example, if Jennifer was rear-ended by Jack, both cars were destroyed.In this small accident, the responsibility is Jack, so theoretically, Jack should use the LIABILITY (liability insurance) to pay Jennifer to pay the fare for Jennifer.However, if Jack does not buy insurance, how can we compensate?

At this time, if Jennifer bought UM himself, he could use her own UM to compensate it.In the same way, if the Liability purchased by Jack is too low, it is not enough to pay the total cost of Jennifer’s car repair.

Of course, in the process, Jack was punished because he did not buy Liability (liability insurance), or the amount he bought was not enough.

Medical Payments COVERAGE

Medical Payments COVERAGE It is medical expenses insurance.After the accident, the insurance is the medical expenses or funeral expenses of the insurer and the driver authorized by the insured, or the driver authorized by the insurer, no matter which party is responsible for the accident.

Medical Payments COVERAGE may even pay the insured and the insured’s family on the road, or take the vehicle of other people, the medical expenses needed after the accident.

In most areas, this insurance item is voluntarily purchased, and some American states are forced to buy.

Personal Injury Protection

Personal Injury Protection: PIP is a personal injury insurance.The payment conditions are similar to Medpay, but the PIP is responsible for a wider range.PIP will even pay the incurred work fee incurred by the insurer due to the injury of the car accident, and the child care fee for children who need additional payment due to a car accident.Wait for a number of non-medical expenditures.

Collision COVERAGE

Collision COVERAGE: The collision insurance is mainly due to the car maintenance costs caused by accidental collisions, including the insured person hit the other car, the roadside railings or trees, the car turning the side, and even the car damage and maintenance caused by the uneven road surface of the potholes.wait.

Therefore, this Collice Coverage is a type of full insurance.If the insured is the responsible party, then the Collision Coverage can be used to compensate the insured’s own losses.

For example, if Jack hit Jennifer’s car when he was reversing, both cars were damaged and needed to repair.In this case, Jack is the responsible party, so Jack needs to use the Liability (liability insurance) to pay Jennifer’s car repair fee.However, who does JACK pay for the car repair fee?

If Jack purchases the Collision Coverage, the insurance company will pay Jack a car repair fee.Therefore, Collision COVERAGE is a kind of “full danger” that people often call.

Collision COVERAGE The type of insurance usually does not have a specific insurance amount.The upper limit is the Actual Cash Value (actual cash value) of the vehicle.

Comprehensive coverage

Comprehensive COVERAGE: Comprehensive accident insurance, in addition to vehicle damage caused by accidental collisions, there will be various other accidents, such as the vehicle encounters the surrounding fires, soaked by floods, influenced by severe weather weather, being hit by animals, and maliciously damaged.

At this time, you need to use Comprehensive for claims.Like the collision danger, the amount of claims is the same as the actual cash value of the vehicle.

Comprehensive Coverage is also a kind of dangerous.

Deductible (self-payment amount)

Deductible, a self-payment amount, is before the insurance plan compensation, the insurer needs to pay the first payment first, similar to Deductible in American medical insurance.

Deductible in auto insurance is mainly suitable for the cost of the vehicle itself.At the same time, it is only applicable to the two full insurance options mentioned above, not for Liability, or medical compensation.

Therefore, when buying a car insurance, you need to decide how much the Collization Deductible and Comprehensive Deductible are respectively.

• Collision Deductible: The collision insurance self-payment amount is suitable for vehicles due to losses caused by collisions, such as cars colliding with each other, rear-end collision, traffic accident collision, etc.If you pay the vehicle with Collision, you need to afford the amount of Deductible, and the excess part will be borne by the insurance company.
• Comprehensive Deductible: It is suitable for damage to vehicles other than vehicles collision, such as floods, hail and other natural disasters damage.If you use Comprehensive to pay the vehicle, you need to afford the amount of Deductible, and the excess part will be borne by the insurance company.

The amount of Deductible is generally 0, $ 500, $ 1000, $ 1500, $ 2000, etc.options.The lower the self-payment amount, the higher the premium.

For example, if your car insurance uses $ 2,000 Deductible, then when the insurance company needs to pay a car repair fee, the initial $ 2,000 is paid by your own, and the cost of exceeding 2,000 will be responsible for the insurance company.

RENTAL Car Reimbursement

RENTAL Car Reimbrsement: The car rental fee will be returned.If your car needs to be repaired due to an accident, the insurance will reimburse your car rental fee during maintenance.Usually, the daily cost and the upper limit of the total cost of a single accident will be set.

Towing and RoadSide Assistance

Towing and RoadSide Assistance: Trailer insurance, if the car fails during the form and cannot be used, the insurance will provide free trailer services or other emergency road rescue services, such as arranging staff to replace batteries, temporary refueling, and replacement of tires.

3.American Automobile Insurance Company Ranking

Because each insurance company will have different focus on insurance services, and different insurance buyers will have their own needs, it is difficult to say which insurance company is the best, but it can be provided from different companies that can provideChoose the most suitable for you in special services or specific advantages.

Geico: Automotive insurance company with best customer experience

Geico is an insurance company with a better overall insurance experience.This is also the car insurance company we currently use.

Geico in the United States Insurance Supervision Officer Association ( Naic) The complaint index is relatively low among many insurance companies, only about 0.64.Compared with its huge operating scale, it shows that Geico has received good recognition of insurance services for customers.

In addition to providing basic insurance types, Geico provides soldiers and family members with exclusive discount discounts, high-safety -level vehicles discounts, etc., while providing additional services such as roadside rescue and rent reimbursement.

Progressive: The most spiritual premium custom insurance company

Progressive has the famous name your price tool.Users can enter their own information and insurance requirements on the webpage, and then get the corresponding quotation.

In this process, the insured can set their own needs flexibly to obtain the insurance quotation that suits them best.

AllState: The most discount plan insurance company

AllState provides customers with a variety of discount plans, such as the DriveWise program.Under the condition of safe driving, users can get the opportunity to return cash return every six months.Milewise supports users to buy insurance according to the number of miles of miles.Or just short-distance customers are very user-friendly, which can save up to 70%of premiums.Others include various discounts such as car installation devices, drivers safe driving, and outstanding grade students.

State Farm: The insurance company that is most suitable for young drivers

State Farm provides great premiums for students with excellent grades and students far away from home.At the same time, for vehicle accidents that occur 50 miles away from home, if they are within the scope of comprehensive accident insurance or collision insurance underwriting, the insurance company will be responsibleUsers to go home or reach all diet, accommodation and transportation expenses in their destinations.

The Drive Safe & SAVE plan launched by State Farm will provide different degrees of preferential rewards based on the driver’s good driving records.

National: The insurance company that is most suitable for big families

Nationwide provides a large-scale preferential plan for big families.When buying insurance with other vehicles in the family, or buying with other family insurance, the premium can save up to $ 646.

At the same time, National Wide also launched two preferential programs: SMARTMILES and Smartride.The former is aimed at low mileage driving and the latter is very practical to various drivers in large families.

Liberty Mutual: optimal price insurance company

Liberty Mutual not only provides all types of discount plans in almost the market, but also does not limit the number of users using discount plans.In other words, as long as the insurance conditions are met, you can use all support discount plans, which can indeed save a lot of premiums.

At the same time, the PRIMER new car replacement plan provided by LIBERTY MUTUAL combines a number of insurance plans for new cars such as new car replacement, loans, leasing, and glass compensation, so that the insurer can purchase a insurance to get multiple guarantees.

Farmers: The most comprehensive insurance company

In addition to providing basic guarantees, Farmers provides premium reduction discounts for doctors, teachers, firefighters and other drivers, and also provides soldiers with a number of preferential policies and home insurance preferential efforts.

In addition to these, Farmers also offers accessories insurance, which provides a guarantee for high-end vehicles and some classic car collectors.Farmers even provides motorcycles and ship insurance to provide one-stop comprehensive guarantee for multi-form combinations.

Travelers: the most timely supporting insurance company

Travellers has more than 12,000 claims commissioners across the United States, and it provides customers with timely services online 24/7.

In addition to most of the basic car insurance varieties, Travellers also offers carpool insurance for Uber or Lyft drivers.Although it is currently available in Colorado and Illinois, it is a major benefit for such drivers in the area.

4.American auto insurance purchase process

Process 1: Determine the minimum auto insurance requirements in the state where the state is located

You need to check the minimum auto insurance requirements sitting in the state, and then check your various situations according to the factors mentioned above to affect the cost of car insurance.

• Itself situation: living environment, occupation demand for vehicle driving, personal credit scores
• Driving: The record of all the tickets in the past, your own driving habits
• Vehicle conditions: The new and old level of the vehicle, the degree of equipment or the degree of vehicle safety device or system equipment

Process 2: Formulate the quota for buying car insurance

Based on your own driving habits and prediction of the use of vehicles in the future, you decide the high and low amount of insurance compensation and the expected self-payment amount.

Process 3: Inquiry from multiple automobile insurance companies

The goods will not be wrong.

Consultation of multiple insurance companies, put forward their own insurance insurance needs, consulting insurance companies such as insurance quotes proposed by their own situation, and related insurance discounts that can be provided.Annual fee rate.

Process 4: Finally determine the amount of car insurance and premiums

Determine the compensation process with the insurance company, and compare the similarities and differences in the clauses of different companies in detail to determine the most suitable insurance company that is most suitable for your own needs and the most acceptable quotation, and finally sign insurance contracts.

Process 5: Open new insurance and cancel old insurance

If you purchase insurance from other car insurance companies before the new car insurance, remember to cancel the original car insurance in time to avoid repeated insurance policies.Repeated insurance is not only a waste of money, but also causes major legal disputes.

Minimum car insurance for compulsory car insurance in the United States

More American life