Personalized car coverage

Car insurance requirements vary by state, most policies include these elements:

• Liability Coverage, which pays for any bodily injury and property damage that you’re responsible for.
• Collision Coverage pays for damage to your vehicle in an accident.
• Comprehensive Coverage pays for other types of damage to your vehicle, for example, vandalism.
• Uninsured and Underinsured Motorist Coverage pay for damage if the other driver who caused the accident is not insured or doesn’t have enough coverage.
• Medical Payment Coverage pays for medical expenses for you and anyone riding in your car.

Each state has minimum requirements for car insurance, but your coverage needs depend on your specific situation. Talking to an agent can help you decide which policy is right for you. In addition to basic coverage, you may also want to consider extras like roadside assistance or rental car reimbursement.

You may be able to get a discount if you’re a homeowner, mature driver, or good student. It’s also possible to save on your overall insurance bill by bundling policies, like your homeowners and car insurance, with the same carrier. Your agent can identify the types of discounts you might qualify for.

Insurance companies have different methods for assessing risk, but most of them consider these factors:

• Your driving record, age, and driving experience
• The type of car you drive
• The number of miles you drive each year
• Your location, usually based on your ZIP code

Insurance companies may also look at your credit history to assess your risk, but this is not allowed in some states.