Ideal Car Insurance Coverage for City Drivers
There’s no way of escaping auto insurance. With over 6 million accidents in the US alone in 2019, whenever you are out on the roads, the risk of getting in an accident is very high. This makes auto insurance necessary. But auto insurance policies are expensive, and most of the time people pay a lot more for things they do not need at all. In this article, we will describe in detail everything you need to know about the right car insurance coverage for city drivers.
Since auto insurance is all about vehicles, how often and how much your car is used becomes a major factor in deciding the price and type of coverage of your insurance policy. Think about it, if you do not need some parts of your insurance policy, why pay for it? It is better to streamline your needs and pay for only the things that are relevant to your use.
Let’s take a look at the ideal car insurance coverage for city drivers, and the ways you can maximize the benefits of your auto insurance without spending a fortune.
When your major use for the car in city driving, you need to consider all the risk factors associated with it to get the auto insurance. Liability insurance coverage is something you cannot skip, as it is mandated by the government. But there is something you can do about it to make sure you don’t run into trouble later.
Liability insurance comes with a minimum coverage limit, as directed by the government. This limit is the amount of money your insurance company will pay in the event of an accident and it covers property damage and bodily injury.
While most people just take the minimum coverage as the limit to save money on premiums, it is not a smart move. Since you live in the city, and every city has different rates of repairs and medical treatments, it is better to have an idea about the ballpark figure of the cost for car repairs and medical treatments. With that in mind, select your minimum coverage limit that would be able to pay for the repairs and treatments.
Secondly, you need to assess the risk of your car getting damaged while it is parked. If you have your dedicated parking space that’s covered and protects your car well, then you can skip comprehensive car insurance which would protect your car from natural calamities, theft, projectile damage, and damage from falling trees and animals.
But if you keep your car parked in an open space where the rate of crime and theft is higher, and your area is prone to fire, hurricanes, floods, etc, then getting comprehensive coverage is a smart move. It does not cost much for the kind of coverage it provides. For most concrete jungle dwellers, comprehensive coverage might not be an ideal coverage solution and it can be skipped.
Coming to the most important aspect of auto insurance coverage, why go for the traditional auto insurance coverage if all you use your car for is commuting to work and basic city traveling? Not only are general auto insurance coverage policies expensive, but it is also not needed if you don’t use your car a lot.
A better option for you would be mileage-based auto insurance coverage. In this auto insurance policy, you pay according to how much your car is used. A normal day-to-day city commute does not require too much driving. If you live in a state like California, it is better to walk than to be stuck in traffic for hours.
So choose mileage-based insurance coverage and you’ll get to pay less for a much better suiter coverage. Compare different plans from different insurance companies to get better rates and save a lot more money.
Many people consider getting roadside assistance which oftentimes comes bundled with auto insurance coverage. Roadside assistance is great if you make long road trips, but for city driving, it is a total waste of money.
Roadside assistance is an add-on to your insurance policy that covers damages or issues of your car that you may face while on the road. This includes gas refueling (only two or three times a year), flat tire replacement, engine breakdown, towing, and other damages that might stop the car in the middle of the road.
But roadside assistance only makes sense when you are traveling frequently and for longer distances, such as driving on the freeway for over a hundred miles. If you drive your car to the office and back home, with a few weekend drives, roadside assistance will be completely unnecessary for you. So skip it and save money.
Collision insurance coverage
If you live in a city, collision insurance coverage is a must. Driving around without this insurance policy would be a folly. Cities are chaotic and if you have been driving for more than a year, it is guaranteed that you must have witnessed a car accident. The chances of you hitting someone’s car, or someone else hitting your car is an inch away from inevitable.
Collision coverage will cover the cost of repairs to your car, which is extremely expensive. Collision coverage also covers any damage to your car if it is parked and some other car hits it. Just make sure you get it from a reliable insurance company where insurance claims do not take much time and that’s it, your car is protected from the chaotic mess of steel animals on the roads.