The car insurance industry is heavily regulated in the United States of America. Each state makes its own laws regarding the type of coverage that is mandatory for all licensed drivers. The department of motor vehicles in each state can provide detailed information about all of the requirements of insurance for passenger and commercial vehicles. Sometimes, it may be necessary to purchase car insurance before receiving a driver’s license. Such legislation is passed in order to protect all drivers on the road regardless of experience level and car ownership.
A person does not necessarily need to own a vehicle in order to buy auto insurance and then get a valid driver’s licensed. For example, some coverage may only be valid when driving a rental car or the automobile of another person. After all, not all licensed drivers may afford to purchase or lease a vehicle.
In most states, auto insurance coverage for personal injury is required. Such a policy essentially pays up to a maximum amount of money for any physical and emotional injuries sustained in a car accident. For instance, physical therapy bills are fully covered by car insurance. However, some companies demand proof of specific injuries that are related to a recent accident claim. Injured drivers and passengers must present valid medical documentation that confirms all minor and major trauma caused by a recent car crash.
Uninsured motorist coverage is also mandatory in most states. This policy helps protect drivers from situations that involve hit and runs. For example, an uninsured motorist may strike another vehicle and then drive away. The owner of the damaged vehicle can file a claim with his or her own insurance company and receive payment from the uninsured motorist policy. Greensboro auto insurance is an example of a mandatory policy in North Carolina that includes personal injury and uninsured motorist coverage. Liability insurance is another mandatory policy.
Car insurance policies also come with optional protection. For example, roadside assistance may be added to a policy for a relatively small additional monthly fee. Similarly, car rental coverage can also be added to a basic auto insurance. Glass coverage is another option for automobile protection.
The premiums for auto insurance are calculated based on a client’s personal profile that includes information like age, marital status and employment. Additionally, all other drivers in a household must be listed on the insurance policy held by an adult.