Are you confused on how to save money on car insurance? Don't worry, so are a lot of consumers. Car insurance companies are spending a lot of dollars on advertiser to find new customers. There's a good chance that you've seen TV commercials from leading insurance companies. The central messages in most of these commercials are that "We can save you money on car insurance." But can they really?
In short, no company can know for sure until you submit a quote request. A number of factors go into determining your rates, and so you won't know what you'll be quoted until you provide some basic information (vehicle info, coverage info, personal info).
So how do you really save on Auto Insurance? We recommend the following steps, all of which can be done through
- 1. Understand what kind of coverage you need
- 2. Shop around for quotes from the top insurance companies
- 3. Consult with at least one local agent that you like (in addition to getting quotes directly)
- 4. Compare your quotes for coverage
- 5. Choose the policy with the best coverage relative to its cost
Car Insurance in New Jersey
Due to the closeness between New Jersey and New York, and the fact that New York doesn't require drivers to have liability insurance, the State of New Jersey requires all drivers to own Uninsured Motorist as well as Liability Insurance coverage. As its name explains, Uninsured Motorist coverage will take care of the expenses caused by being involved in an accident were the responsible driver isn't insured.
New Jersey is a no fault state. In no fault states drivers will be covered by their own auto insurance policy, even if they are not responsible for the accident. However, if a person's injuries are severe and the medical expenses exceed the liability coverage, the State of New Jersey can make the responsible for the accident is held for such bills with its own insurance policy. Also the insurance company is enabled to go after the responsible driver and redeem the debt of the insured cares. The benefit obtained by the insured on no fault states is that the insurance company will pay quickly for the insured expenses, and the insured will not be affected by any legal procedures the insurer uses to redeem the debt..
Also drivers in this state are required to own personal injury protection (PIP). This coverage will take care of medical bills, lost wages and in worst case scenarios, funeral costs. Also it may take care of passengers of the insured vehicle in case of an accident.
Minimum liability coverage required by New Jersey are of :
- $15,000 per person to pay for bodily injury or death,
- $30,000 per accident to pay for bodily injury or death, and
- $5,000 per accident for damage caused to property.
New Jersey Law also requires all drivers to carry with them at all times proof of being insured. This proof can come in the way of a self-insured certificate or an Insurance ID Card, which should be provided by your carrier at the moment you acquire a car insurance policy with them. Law enforcement officers can request to see this proof of insurance when pulling you over or if you are involved in an accident.
If you fail to comply with this requirement and you are a first time offender, the fine will be of $300, will require you to carry out community service and can have as much as a year suspension for your driver license. Second time offenders will have a $500 fine, double the suspension as first time offense, jail time and 30 days of community service.
Additional coverage like Comprehensive and Collision are used to protect the insured vehicle and pay for any physical reparations it might need after being damaged in an accident. The difference between those two types of coverage is that while Comprehensive insurance pays for accidents not related to an automobile collision (it pays for example for flooding, fires, wildfires, vandalism, etc.) Collision will pay to fix your vehicle from damage resulting from a moving collision, no matter if it was with another car or with a static object like the garage door in your driveway.
Important to keep in mind is that none will pay for medical bills or legal expenses; they will only pay for physical damage caused to your vehicle.
Why Car Insurance?
First reason why you need Auto or Car Insurance is because it is required, in almost all 51 States, to have auto liability insurance.
Auto Insurance is there to protect your assets. If you are involved in a car accident, auto insurance will help you take care of medical bills, the cost of reparation for vehicles involved, even sew costs (this may vary, depending on the insurance plan you have selected).
Be sure to ask your insurance company if there are discounts available if you are also a Homeowner with coverage underwritten by the same insurance company.
Start your auto insurance rate quote and see what kind of discounts are available for you.