Since this tree certainly didn't carry its own insurance, we hope the driver had comprehensive coverage (which applies to the car). See more car safety pictures. iStockphoto/Thinkstock Just like cars themselves, car insurance comes in all shapes and sizes. And it's a good thing, too -- in the U.S., it's required by law in 47 states, so you might as well have options. But what do those options cover: the car or the person? Well, both. In this article, we'll explore exactly which kinds of auto insurance apply to what. Auto insurance is sold in packages consisting of different types of coverage. Some apply to your car, such as comprehensive coverage, which includes coverage for non-accident–related damages ranging from theft to natural disasters to vandalism [source: Kiplinger]. That means if your brother's car breaks down and you let him take yours to work, your car is still covered -- even though you're not driving it. In this case, your brother -- or anyone else you give … [Read more...] about Does auto insurance cover the car or the person?
No-fault auto insurance sounds great, but there are some things you should know before you run out to get some. See more car safety pictures. Yellow Dog Productions/Getty Images Does this sound like a dream come true or what? You're in an auto accident, but you don't have to worry about whether you caused the fender-bender (unless you get a ticket, but that's a different story) because you have no-fault insurance. Sounds perfect ... but what is it? Under no-fault laws, each driver or his insurance pays for his own injuries or damages, without regard as to who was at fault. You lose some ability to sue, but you generally walk away without any financial burden. However, it's not as simple as it sounds. The type of auto insurance you can get depends upon which state you live in. And there are differences of opinion as to whether no-fault insurance is a good deal. It may be good for some drivers, but not for others. The traditional kind of auto insurance is based on the tort system. … [Read more...] about What is no-fault auto insurance?
Start the Countdown While it's difficult to save money on homeowner's insurance, general liability insurance or health insurance, we all can do something to bring down the price of auto insurance. iStockphoto/Thinkstock Hear me roar, for I am the insurance king. It's not something I set out to become. I suppose it just happened -- like going bald. Maybe it's because buying insurance is as inevitable as death and taxes. And while we all cringe at the idea of purchasing something that we hope we never use, let me tell you from experience, insurance is nice to have when you need it. Of course, arguing with insurance companies is not so nice, but that's a story for another time. What's neat is that you can buy insurance for just about anything. Jimmy Durante, the old-time actor with the huge nose, insured his prized schnoz for $440,000. That's a spit in the bucket compared to the price allegedly placed on Jennifer Lopez's butt. Reportedly, the shapely siren insured her best … [Read more...] about 5 Things You Can Do to Lower Your Auto Insurance Rates
That sign might as well say "Just scored a discount on auto insurance!" See pictures of car safety. George Doyle/Stockbyte/Thinkstock Husbands and wives bickering over the breakfast table may find it hard to believe, but mounting evidence suggests that married couples are less likely to develop dementia or to get other serious conditions such as cancer and heart disease than their single counterparts [source: Parker-Pope]. Happily, marriage also seems to have a positive impact on auto insurance rates. The fact is that married couples are less likely to get into car accidents. There are various theories about why this might be the case; some sources say that married drivers tend to drive less than their single counterparts. Other sources hypothesize that married drivers have more stable, and therefore less risky, lives than singles. Whatever the reason, statistics show that married drivers have fewer motor vehicle accidents and injuries than single people. In fact, one New … [Read more...] about How does getting married affect your auto insurance?
If you live an urban area, you probably pay more for your car insurance than your rural counterparts. See pictures of car safety. ©iStockphoto.com/JayLazarin Way back in 1891, inventor John William Lambert was trying out his new "horseless carriage" when he crashed into a hitching post. His top speed was only 5 miles per hour (8 kilometers per hour), so injuries were minor. But it's also safe to say that Lambert had no insurance to cover this, the very first auto accident on record [source: Ohio History]. We've come a long way since then. Today, every state requires drivers to carry insurance, and what you pay for insurance over the life of your vehicle can be greater than the cost the car itself. As you probably know, insurance companies base their rates on many factors, including your age, driving record, marital status and the type of car you own. What may come as a surprise, though, is that where you live also has a significant effect on your insurance premium. The … [Read more...] about How does where you live affect your auto insurance rate?