Auto insurance protects the person in the vehicle, the vehicle and any other damage resulting in liability. Currently, auto insurance is required in 50 states here in America and no matter where your driving in those states the vehicle must be insured.
Many people get auto insurance simply because it’s required, but never know what they’re covered for. If something happens, insurance can save you thousands of dollars. There are a number of factors that companies use to determine your insurance costs including location, age, marital status, gender, how many accidents you’ve been in, driving violations, cost of vehicle, credit rating, occupation and sometimes even the color of your car.
In Michigan, every household spends about 8% of annual income on car insurance. Pretty expensive, yes, but it’s the only state that guarantees unlimited personal injury protection. This covers the policyholders’ medical costs in case of an accident no matter who’s at fault, unlimited lifetime medical and rehabilitation benefits.
Other things to look for in your policy are:
- Personal Injury Protection- Also known as PIP, no matter who is at fault this covers your injury rehabilitation, medical expenses, lost wages spent recovering, funeral, child-care and home upkeep expenses.
- Collision Insurance- Covers the damage of your car, but how much you’re covered for depends on the type of vehicle.
- Property Damage- Covers about $50,000. Example, if you ran into someone’s garage, it would be covered through property damage.
- Bodily Injury Liability- If people are injured and you’re at fault, this covers emergency, medical, legal or funeral expenses worth up to $100,000 per person.
If you finance a vehicle through Express Auto, you don’t have to get full coverage insurance, which saves you money.