Automobile insurance is complicated at times, and due to this, many people have questions about specific situations, types of insurance, and what their needs are. Fortunately, the tools that are available here at Cheap Auto Insurance provide expansive knowledge and top car insurance information to help people make educated decisions on which types of policies to consider. Each state has different requirements for automobile insurance, but there are many similarities in terms of what kinds of policies are provided by auto insurance businesses.

Take a look at this FAQs page to find answers to many of the common questions that are asked not only here, but also to automobile insurance agents across the country. Going into your car insurance purchasing experience with answers to these questions can help you save money in the long run. Avoid purchasing more car insurance than you need, less auto insurance you need, and also get a better idea of what types of insurance add-ons you will want to purchase.

While each state has minimum requirements for car insurance in order to drive legally, many people choose to purchase additional insurance coverage to protect themselves further. Here are many of the common questions that get asked, as well as answers to each.

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How will buying auto insurance help you?

Buying automobile insurance is not only required by law, but it is incredibly helpful for many people around the country each year. When you purchase an auto insurance plan, it helps protect you financially if you are in an automobile accident. There are many different types of automobile insurance policies that are available, each of which protects you in different ways. Also, each state has minimum requirements for car insurance plans which need to be adhered to in order to avoid fines, fees, and various penalties. Penalties can also include community service requirements, the suspension of driving privileges, and possible jail time in some states.

How much auto insurance do I need?

Each person’s needs for automobile insurance will vary depending on a number of different circumstances. Each state does have minimum limits for insurance, the minimum requirements by law, and in order to drive legally in your state you will need to meet these requirements. Some states do require different amounts than others, so make sure to check with your local DMV for the latest and most accurate requirements. Another variable to consider is whether or not you need additional insurance added to your policy, like comprehensive car insurance plans, collision car insurance plans, lease gap insurance, and others.

How does auto insurance work?

Auto insurance plans are just like other forms of insurance in most ways. An automobile insurance company will weigh the risks that the driver has and charge them for an automobile insurance plan, and in return, the company adheres to the contract entered into as stated. After the deductible stated in the policy is paid, the car insurance provider will pay for additional expenses for covered perils and situations. There are many discounts that are available on insurance plans, so shopping around for the best prices for car insurance is recommended.

Does auto insurance cover flood damage?

Whether or not your car insurance policy covers flood damage is dependent on which types of automobile insurance you have purchased. Flood damage is often covered under a person’s comprehensive automobile insurance plan. Depending on the damage to a person’s vehicle, they will be paid for either the repair costs that occur or the value of a car if it is totaled. Keep in mind that many people do not purchase comprehensive car insurance coverage, and if you choose not to have it included in your plan, you will be at risk for expenses related to flooding if it occurs. Make sure to read over the terms of your automobile insurance policy to see if flooding is included.

Does auto insurance cover rental cars?

Unless you purchase a specific type of insurance plan, like professional insurance designed for driving instructors or mechanics, you are only covered for the vehicle stated on the insurance policy. It is possible to purchase additional insurance from some companies that specifically includes rental cars, and this is something to keep in mind if you intend to rent a vehicle. In many cases, the company you are renting a car from will be able to provide an automobile insurance plan in partnership with a car insurance provider.

Does auto insurance cover theft?

If your vehicle is stolen, you will want to report the theft right away. Not all types of car insurance cover a stolen vehicle, and in most cases, vehicle theft is covered under your comprehensive insurance coverage. Comprehensive insurance coverage provides protection in cases of not only theft but also vandalism. Reading over what your insurance coverage provides protection for in your automobiles coverage plan will give you a better view of everything that is covered in your policy.

Can you cancel auto insurance anytime?

An automobile insurance policy can be canceled at any time, but remember that if you have a lapse in coverage you may and up paying more for your car insurance policy when it is reinstated or if you switch to another company. Keeping up with your automobile insurance policy can help you save money in the long run. Additionally, if you have prepaid for any of your automobile insurance plan, you may be entitled to receive a refund for the unused portion of car insurance paid for. Contact the automobile insurance company to inquire about a refund if needed.

How long does an auto insurance claim take?

While each claim may take a different length of time to investigate, auto coverage providers have laws that must be followed in each state. Most states require that a payout happens within either 30 days or 45 days after a settlement offer. If you are involved in an automobile accident and are looking to file a claim, make sure you have all of the necessary information. Also, by filing a claim shortly after an accident occurs, the claims process can go much smoother. Once you file a claim an adjuster will be assigned and the process can begin.

How to file an auto insurance claim against someone?

The first step to filing a claim against someone is to contact your insurance agent and figure out what you are covered for. You may have questions about rental reimbursement coverage, as an example, for the time your vehicle is being repaired. There are time limits on filing claims, in addition to submitting the bills after a claim is filed. Some professionals recommend hiring a car accident attorney if you need to file a claim against someone else. You can also choose to file a claim yourself by contacting the auto insurance company. If you are in an accident, make sure to exchange car insurance information with the other driver.

How to switch auto insurance?

Switching auto insurance companies can save people a lot of money. Each company weighs variables differently, and the formulas they use can change over time. Getting an automobile insurance policy can happen at any time, even if you have an insurance policy from another company. Make sure to cancel your original insurance plan, however, so that you are not paying for two policies at once. Also, keep in mind that if you have a lapse in your insurance coverage, you may end up paying more for car insurance when you decide to get a policy again. The tools on this site can help you find the best rates for car insurance available.

Can you switch auto insurance plans mid-year?

Yes, you can switch car insurance plans in the middle of the year, or even in the middle of a policy. If you have prepaid for any of your insurance, you may also be entitled to a refund. You will need to contact your auto insurance provider in order to have your refund processed and sent to you. Many people choose to search for car insurance with different companies and get free car insurance quotes in order to help them save money. If you decide to switch automobile insurance policies, you should know that a lapse in insurance coverage can increase your rates. Make sure that your coverage doesn’t lapse to help keep your prices as low as possible.

Does auto insurance cover hail damage?

With many different types of automobile insurance coverage plans available, this is a common question that policyholders have. To have a financial safeguard against a long list of hazards, including hail damage, you will need to purchase comprehensive auto insurance coverage. Liability car insurance, as well as numerous other types of coverages that are available, do not cover the same risks and perils that comprehensive car insurance covers. As always, read over your coverage documents to determine exactly what is included, and make sure to set your deductibles at an affordable rate.

Does auto insurance cover rental trucks?

This can vary from one company to another, or rather is more nuanced than people generally believe. Different rules apply to rental trucks than to vehicles of other kinds in some cases. With two main types of damages and losses you need to be protected against, only one of them could be covered by your auto insurance policy. Damage to other drivers vehicles and bodily injury that you caused to others can be covered, but in most cases damages to the truck you are operating, bodily injury that you may suffer, and the contents of your vehicle, are not covered. Get the full details by reading your auto insurance plan and asking your car insurance agent.

How does age affect auto insurance rates?

Age has a much more significant effect on automobile insurance premiums than many people are aware of. Automobile insurance companies use statistics to determine how much risk providing someone with an automobile insurance policy is. On the younger end of the demographic, between ages 16 and 25, are some of the most expensive rates in terms of age on average. The average rates level off after that, but increase as people become senior citizens and after. Some automobile insurance providers weigh age differently than others, which is one reason that shopping around for the best prices on auto insurance premiums is essential to do.

How long can your child stay on your auto insurance?

There is not a limit in terms of time for how long you can insure your child. However, there are some details that you should know. First off, look for all of the discounts available on car insurance for your teen. Second, keep in mind that in order for your child to be on your automobile insurance policy, he or she will need to live at home with you. Exceptions to this include a child who has gone off to college or a child who will still be driving a vehicle that you own. While having a younger driver on your automobile insurance plan will increase your rates, the rates they would have on their own will be even more expensive on average.

How many states require auto insurance?

Liability insurance for automobiles is required in 49 states, as well as the District of Columbia. New Hampshire is the only state that does not have an auto liability insurance requirement. Even though it is not a requirement in New Hampshire, most people choose to get a car insurance plan in the state to fulfill New Hampshire’s requirement to provide proof of financial responsibility. This is because the other ways to provide proof of financial responsibility often require a lot more money upfront. Drivers who can show that they are able to provide sufficient funds if an accident occurs, however, do not need to purchase an auto insurance plan in the state of New Hampshire.

How to find someone's auto insurance information?

It is required by law to carry a minimum amount of insurance in almost every state to legally drive there. The most up-to-date car insurance information will come from the insurance provider. You can contact and automobile insurance company to find out if an automobile is insured, though the easiest way to find auto insurance information is by asking the car owner themselves. You can also get this information in some cases, if you have reported an accident to the police, from the states motor vehicles agency. If an accident occurs, you can look to get insurance information in court if necessary.

How to maximize auto insurance claim?

There are numerous ways to get a maximum return after filing a car insurance claim. Make sure to check and see if you have rental car coverage on your policy; this can help save and costs while your vehicle is being repaired. In addition, review your insurance coverage policy to get full details on what is covered in your situation. Until you know that you understand your coverage completely, do not provide your insurance company with anything in writing. Also, keep in mind that you are not required to let the insurance company record your telephone conversations. If you have any questions about your rights, refer them to an attorney.

Is auto insurance required in every state?

Automobile insurance coverage is required in almost every state, with the exception of New Hampshire. Forty-nine states, as well as the District of Columbia, require an automobile insurance plan in order to drive legally in the state. In New Hampshire, other proof of financial responsibility can take the place of an insurance policy. Each state has different requirements for automobile insurance, with some requiring more types of coverage and others. Check to get the latest requirements for car insurance on sites like this one or at the local DMV in your state. Once you are aware of what types of insurance are required in your state, look for the best prices for car coverage available here.

Is requiring auto insurance unconstitutional?

No one is required to purchase automobile insurance if they do not want to. That said, they will not be able to drive legally in their state they do not meet the minimum requirements for car insurance. In addition, they will be responsible for expenses resulting from a car crash if they are found at fault and do not have insurance. Also, they are at risk of fines, fees, and other penalties if they are caught driving without a valid insurance plan. Automobile insurance is required to drive legally at a state level, and while some people argue it is unconstitutional, from a legal perspective, that is not the case at this point.

What falls under comprehensive auto insurance?

Comprehensive automobile insurance covers a number of perils that are related to damage that is not caused by collisions. If you are living in an area that is at risk of any of these perils, you may consider purchasing a comprehensive auto insurance plan. These plans can help cover damage to your vehicle from things such as natural disasters, fire, falling objects, theft, vandalism, damage to your vehicle done by animals, civil disturbances, and more. Most people are at risk for at least one of these perils, and other variables are important in determining whether or not a person wants to purchase this type of coverage. These variables can include the value of a person’s vehicle as an example.

What happens if you cancel auto insurance?

If you cancel your car insurance policy, a number of different things can happen. Different states have different requirements in terms of auto insurance coverage. In some states, the state will be notified as soon as your automobile insurance policy is canceled or lapses. If your vehicle is still registered, you may face penalties in these states. In addition, if there is a lapse in insurance coverage before purchasing another policy, you may find you are paying higher rates for your new plan. If your automobile insurance policy is canceled, or you cancel it, and there is still remaining money that you have paid towards it, you may be eligible for a refund. If you are, contact your automobile insurance provider to start the process.

What is an auto insurance declaration page?

When people receive their car insurance declaration page, they should read it over. It will include a summary of the automobile insurance plan as provided by your vehicle insurance provider. The page is sent to you as soon as you have purchased your policy, which will give you instant proof of insurance. While most people choose to carry proof of insurance in the form of their auto insurance cards, an automobile insurance declaration page can also be used in this manner. Read over your car insurance declaration page and make sure that it is accurate when you receive it.

What is med pay on auto insurance?

Medical payment coverage is an optional insurance add-on in most states. It can save people a lot of money if they are in an accident and their health insurance does not cover all of their medical bills. If the person who caused the injuries does not have insurance, med pay insurance coverage may provide financial protection by paying for part of the medical bills and in some cases all of them. This insurance add-on is a contractual agreement between you and your insurance company and only provides coverage to someone who is insured.

What is proof of auto insurance?

If you are in a car crash or are pulled over by a police officer, you will be required to provide either proof of auto insurance or proof of financial responsibility. Forty-nine states and the District of Columbia require that a person has an automobile insurance policy or proof of financial responsibility in place. New Hampshire has its own unique laws, but people must still show that they are able to pay for expenses that they are liable for if an accident occurs. Most car insurance companies provide automobile insurance cards so that they can prove they have adequate coverage if they are pulled over or in a crash. In addition, an auto insurance declaration page can also be used as proof of auto insurance.

When do I need to get auto insurance?

If you are driving a vehicle in your state, you will need to have automobile insurance. In most cases, you are required to have a car insurance plan if you have a vehicle registered as well. In order to avoid an increase in car insurance premiums, you will want to make sure that your coverage does not lapse at any point. Whether you are renting a vehicle, leasing a vehicle, financing a car, or purchasing a vehicle outright, a vehicle insurance policy is required to drive legally. Failure to have automobile insurance can result in fines, fees, and other penalties.

Why does my auto insurance go up every year?

There are many variables that go into determining a person’s car insurance rates. Changes in a person’s driving history, changes in a person’s credit score, and changes in vehicles driven can all contribute to higher prices. There are, however, many other variables that are considered when determining automobile insurance premiums. These can include the crime rate where the vehicle is insured, the age of the vehicle, the age of the driver, and a plethora of other factors. Shopping around for automobile insurance plans every few years can help people keep their rates as low as possible.

Can I get auto insurance without owning a car?

It is possible to get a car insurance plan without owning a car. If you are traveling to another place and will be borrowing a vehicle from a friend, you may need to get your own auto insurance plan for the vehicle. It may also be possible for you to be added onto your friend's automobile insurance policy for the duration of your trip. Not all auto insurance providers offer this type of insurance coverage, so you may need to utilize the tools on this website to find the best rates on car insurance of this kind.

Can you pay auto insurance with a credit card?

Most companies do allow you to pay for your automobile insurance plan with a credit card. For websites which have mobile apps and the ability to pay your bills on their website, you may even be able to set up recurring payments in order to have the money automatically withdrawn from your card each month. There are also other ways to pay, with some automobile insurance companies that accept PayPal and other forms of payments being popular for some people. Also, keep in mind that it is possible to save a few hundred dollars by paying your entire balance when you first obtain a car insurance policy.

Do I need full coverage auto insurance?

Not every person needs full coverage on their vehicle. The variables for people to consider include the value of their car, the cost of full coverage on their vehicle, and the age of the car. If an entire year of automobile insurance coverage costs more than the value of the vehicle you are driving, you might decide to decline full coverage auto insurance. Full coverage automobile insurance includes collision and comprehensive coverage, which will only pay out up to the value of the vehicle that is being insured. No states require full coverage on vehicles in order to drive legally, but some financing and leasing companies do require it in the terms of their contract.

Do I need medical payments on my auto insurance?

Medical payments vehicle insurance coverage helps provide financial protection for a number of expenses related to automobile accidents. It helps cover the costs of medical care and/or funeral expenses that are associated with car crashes. This type of insurance policy often covers costs for not only the policyholder but also the passengers and family members that are driving in the vehicle at the time of the accident. Medical payments coverage can include ambulance fees, hospital visits, surgery, prosthetics, and a number of other expenses. Depending on your health insurance policy, and how much overlap there is, you may want to consider medical payments insurance.

Does auto insurance cover broken windows?

A basic automobile insurance policy generally does not cover broken, cracked, or shattered windows unless it was damaged as a result of a car crash. Your policies collision insurance coverage will likely reimburse you for the cost of repairing your vehicle, including its windows, after the deductible is met. In some cases, a comprehensive auto insurance policy will cover vehicles that are damaged for other reasons. If it is just your window that is damaged, and the repair is not that expensive, it may be beneficial to take care of the repairs yourself. Contact your vehicle insurance service to determine how much your insurance would go up if you file an insurance claim for the broken window.

Does auto insurance cover mechanical repairs?

The answer to this is situational. While basic auto insurance provides coverage for a number of things, the reason the expense occurs is important. Collision coverage, for example, will cover for damage to your vehicle that is the result of a car crash. This will include mechanical repairs to a vehicle that have occurred as a result of the car accident. Mechanical repairs that are needed for other reasons are not covered by your automobile insurance plan. This also includes comprehensive car insurance, which does not help pay for mechanical repairs unless the damages caused by a covered peril like hail, falling objects, and more.

Does auto insurance cover medical expenses?

Different types of policies cover different types of medical expenses. As an example, bodily injury liability insurance protects you from expenses to a third-party for a car crash that you are found at fault for. This type of insurance plan does not cover your own medical expenses, however. A different kind of insurance policy, and one that most states do not require, is called medical payments coverage. Med pay, or medical payments coverage, is designed to cover the costs associated with individuals in your vehicle for costs that are related to medical expenses, as stated in your policy.

Does auto insurance cover punitive damages?

Punitive damages are usually not covered by insurance policies. That said, it is possible in some cases for lawyers to force the defendant's insurer to pay for a putative damages award. In many cases, a plaintiff will a win putative damages awards, but an additional court battle may be required for these damages to be covered by an insurance provider. Contact your automobile insurance provider for more information, and if necessary talk to a lawyer to explore the options that you have if punitive damages occur.

Does auto insurance cover the car or the driver?

Both. A car insurance plan can cover both the driver and the car, but there are differences that do exist between how and when both are covered. The types of automobile insurance coverages a person has can also have an impact on the answer to this question. Collision and comprehensive insurance cover your vehicle, as examples, and liability insurance is an example of auto insurance that covers you as a driver. Use the tools on the site to learn more about the different types of automobile insurance that are available to you, and compare car insurance policies and companies to find the best rates.

Does auto insurance cover tires?

Your automobile insurance policy will cover damage to your vehicle that involves car accidents and some other unforeseeable events. Comprehensive insurance will cover damages due to perils like natural disasters, falling objects, animals, theft, and vandalism. Collision coverage will cover damages due to car crashes. If your tires are damaged in ways that are covered by these types of insurance policies, or from things covered by other insurance types, your plan may cover the damages. It is highly rare for a car insurance company to cover things like flat tires, however. Read your car insurance plan to understand what your policy covers.

Does auto insurance cover towing?

While most auto insurance plans do not automatically cover towing, many companies do offer roadside assistance coverage as an add-on to your plan. Some companies include this type of coverage automatically but still give the option to remove it for people who do not want it. When purchasing an automobile insurance policy, check to see if roadside assistance insurance is included. If it is not, you may want to consider purchasing it. Roadside Assistance can also provide help for people who locked their keys in their vehicle, have run out of gas, gotten a flat tire, or have a dead car battery.

Does auto insurance go down when you retire?

As drivers get older, towards the point of retirement and beyond, they are also considered riskier. Even so, it is possible to have reduced rates after you retire. Make sure to assess your auto insurance needs at each major milestone in your life. In many cases, people who are retired drive a lot fewer miles overall. Even though rates might go up if a policy is maintained at the same number of miles, it is possible to get a low mileage automobile insurance plan to help lower your rates. In some cases, you can also still be eligible for things like professional association discounts. Take the time to shop around to find the cheapest prices for auto insurance at each milestone in your life.

Does auto liability insurance cover my passengers?

A common misconception is that basic liability auto insurance policies cover the passengers in your vehicle. But bodily injury coverage will only cover passengers in a different vehicle than the policyholder. A passenger in your car can be covered by your automobile insurance plan if you have medical payments coverage or underinsured motorist coverage added to your plan. This is also the case for uninsured motorist coverage. These types of coverages are optional in almost all US states, and many people choose not to get this type of coverage. Make sure to consider which types of insurance coverage you should get when purchasing your policy.

Does homeowners insurance cover auto theft?

Many people are curious as to whether or not homeowners insurance plans cover auto theft. If someone breaks into your home and steals things, homeowners insurance can cover the loss. If they steal your vehicle, however, the damage would need to be covered by a person’s automobile insurance plan. Even in this case, a comprehensive car insurance policy will be required for an automobile insurance company to cover these losses. Other types of car insurance do not provide coverage in cases of theft. Make sure to consider comprehensive car insurance and use the tools here to find the best prices for comprehensive insurance online today.

Does my child have to be on my auto insurance?

Many car insurance providers allow people to add their children to their policy, free of charge, until they become a fully licensed driver or until they turn 18 years old. When they are a fully licensed driver or 18 years of age, however, they will need to be added to your policy, at a cost, if they are driving any of the vehicles stated on your plan. If they do not drive any of your vehicles and do not have any cars registered in their name, they may not need to be added to your policy. Some automobile insurance companies will require them to be added to your policy if they are still living at your address though, so you may need to contact the insurance company to let them know that they are not driving any of the vehicles you own if that is the case.

How to save on auto insurance coverage?

One of the biggest ways to save on automobile insurance coverage is by comparing car insurance companies on car insurance plan premiums. Finding the best prices for auto insurance can be done using the tools on this website. You should also consider looking into the various discounts that insurance providers offer. These can be fantastic ways to save money on car insurance. Also, by keeping your driving record clean and your credit score up, you can pay the lowest rates possible on premiums for your car insurance. Keep in mind when shopping for a vehicle that the make, year, and model of the car you purchase can also have an impact on your rates.

What determines auto insurance premiums?

There are many variables that go into determining car insurance premiums, and they are mostly based on statistics. If something increases the risk that you will file a claim, generally it will raise your automobile insurance rates. Some of the factors used to determine auto insurance premiums include driving history, credit score, age, location, make, year, and model of the vehicle, previous claims, safety features on a vehicle, the number of miles driven, and there are numerous others as well. Some of the variables you can directly impact, like your driving history and credit score, and some are time-related and cannot be changed in the same ways, like age.

What is an auto insurance card?

An automobile insurance card is what car insurance companies issue so that people can provide proof of insurance if they are in an accident or pulled over. States require that a car insurance policy meets the minimum limits as required in order to drive legally in the state, though some provide other options to provide proof of financial responsibility. In addition to a persons car insurance card, they can often use the declarations page for their policy as proof of insurance. This card will have the person’s name, the auto insurance company, a person’s policy number, and any other information required by the state.

What type of auto insurance covers hitting a deer?

The risk of hitting an animal with your vehicle is higher than people might expect. If this happens, most types of insurance coverages will not help pay for the costs associated with the damage. In order to be covered for perils of this type, as well as perils related to natural disasters and falling objects, a person will need a comprehensive insurance coverage policy. This is an add-on insurance policy that is not required in most states. If you hit a deer and have this type of coverage, you can file a claim with your auto insurance company.

Which auto insurance companies don’t check credit?

While it is possible for people to get car insurance quotes without having a credit check, most companies do check a person’s credit reliability before issuing a final quote. In many cases, if the company does not utilize a person’s credit score and is located in a state that allows it, they may end up paying more for their automobile insurance overall. Keep in mind that your insurance credit score is different than your standard credit score, and weighs the variables in its report differently.


Having the best information possible can end up saving you a lot of money on car insurance in the long run. While saving money on car insurance premiums is a great way to spend less money on your policy, it is equally essential to get the right policy coverages to meet your needs. If you are involved in an automobile accident, hit an animal, or are involved in any other covered situation, having the proper type of insurance can end up saving you a lot of money. Most people cannot take a substantial financial hit to their savings, making car insurance not only a requirement by law to drive legally, but also protection that can extend way beyond its direct value.

Get the top rates on auto insurance here on this site by utilizing the tools available. Make sure to compare prices from different auto insurance providers, as they all use different variables to determine premiums. Having a valid automobile insurance policy not only brings peace of mind, but also brings financial protection.

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