If you own a new or used vehicle, then congratulations! The next step is to secure auto owner insurance.
But before you start your search, it's important to know the main types of insurance available.
As a general rule: the newer a vehicle is, the more insurance you'll want to take out.
Here are some of the main types of car insurance available: 1.
Collision and Comprehensive.
This type of coverage is typically required for new cars.
On the other hand, older cars usually don't require collision and comprehensive coverage.
So if you're interested in saving money on car insurance, forego taking out this type of coverage if you can avoid it.
2.
Liability.
If you were to be in an accident, then this type of auto owner insurance covers the cost of any property or medical damage that occurs.
The minimum amount required varies in different regions of a country, so it's critical to learn how much you'd need to secure.
3.
Personal Injury Protection.
This type of insurance covers your family if they get in an accident.
Depending on where you live, you may not be required to secure it if you have other types of insurance, such as medical and life insurance.
4.
Uninsured motorist "Stuff" happens in life.
Unfortunately, there's always a chance that you could hit someone who's not insured-even if you are.
If that happens, then this type of coverage will cover the costs for property and medical damage.
As a general rule, if you want to keep your auto owner insurance low, then only take out the required types and amounts of insurance needed.
Extra coverage can add up quickly and can cost you a small fortune.
Having a basic knowledge of these types of car owner coverage will help to keep the costs low.
That's a good thing!