Insurance plays an extremely important role both in the life of the entire American society, and in the life of an individual family. We will talk about car insurance simply because many people face it almost immediately upon arrival in the country. The need for other types of insurance arises later if you are planning to live in the USA.
Car insurance is regulated by law at the state level, not at the federal level. Driving without insurance is a serious offense and is strictly punished. You can only trust information received from an insurance specialist in your state. When using jeep rentals denver Colorado, consult the agent about this matter. Any information in other states may be inapplicable outside of Colorado.
There are some other Types of Insuracne you need to know before taking one.
Why do you need to insure your car?
In almost all states (there are exceptions) car insurance is mandatory in terms of civil liability. The amount of coverage required varies from state to state. For example, in California it amounts to $ 15,000 for bodily injury per one victim and up to $ 30,000 for more than one victim. In addition, it provides liability for damage to someone else’s property – $ 5,000. All this is based with a view on one accident.
There are 3 types of coverage that should be included in your insurance policy – they will provide protection in case you encounter on the road a person who has no insurance, or whose insurance is not enough for this case:
In the USA, this coverage is not necessary, but it is recommended to include it in the insurance, because these funds are issued instantly, no matter who is the causer of the accident. Most often, you are advised by the insurance agent to arrange such coverage, because with its help, you will be protected in case of injury. When you need to get medical help, you can take money from this coverage.
Underinsured Motorist Bodily Injury
This coverage is responsible for personal injury and moral damage.
It covers vehicle damages. You cannot expect that in case of trouble you will be covered by someone else’s insurance – you need to have your own. According to police statistics in the state of California, 28-30% of drivers have no insurance at all. Add to this the same percentage of people with the minimum legal coverage required and you will understand that if something serious happens to you on the road, there is almost no chance of getting money from the culprit.