Whether you’re purchasing your first auto insurance policy or shopping around to ensure you are getting the best deal, chances are you already know the importance of auto insurance. It helps protect you from financial loss if you’re responsible for an accident, pays for medical bills after an accident and shields you from uninsured or underinsured motorists.
Auto insurance policies are made up of different types of coverages. Under Louisiana law, drivers are required to carry liability coverage on any automobile they own, or risk facing costly penalties such as fines and car impoundment. Liability insurance covers bodily injury or property damage caused by you, your family members, and others driving your car with your permission. Keep in mind that although Louisiana law only requires drivers to purchase liability coverage, auto lenders may require additional coverages such as collision and/or comprehensive insurance.
When purchasing an auto insurance policy, it’s important to remember that not all policies are alike. Determine the circumstances of your situation and then choose a policy that best meets your needs. Also, don’t be afraid to shop and compare quotes from different companies. Look for companies that are financially sound and have a history of providing good service to its customers. Remember, just because a company offers the lowest rate does not mean that it is the best policy for you. An inexpensive policy does you no good if the insurance company cannot cover your claim after your car has been involved in an accident.