If you are a new driver, you have not filed an insurance claim yet, or you are pretty green in the car matters, then you might find the insurance payments you make to your insurance company a bit frustrating. This especially gets worse when you pay the heavy premiums each month without fail, and then you can’t seem to find any benefit than you are already getting. Most new auto insurance subscribers feel lured and think of insurance as a scam or sunken costs.
However, it is worthwhile noting that unless the insurance company is illegal, your money is in good hand, and you are creating a cushion for hard times that might hit. It is important to understand what car insurance is, what it is for, and why it is vital for you and your car. This way, you will be well informed on the insurance policies to take and what to expect from what insurance company. The following is a list that summarizes the benefits of auto insurance.
1. Your Financial Protection
Maybe you have never been involved in an accident. If this is the case, you have not yet had the chance to file a claim on your insurance. Don’t panic; it is not something you would enjoy doing since accidents are not fun. However, having an insurance policy will ensure that you are covered financially when that bad day comes.
According to CDC-Center for Disease Control, motor vehicle carnage claims more than 32,000 lives, and approximately 2 million people are injured. It is also important noting that if you cause an accident and have not yet subscribed to an insurance policy, you will cover all the financial costs associated with the damages you caused. Many governments also require motor vehicle owners to protect themselves with an insurance policy. Therefore, driving a vehicle without an active policy will land you into legal troubles. The financial protection you get from an insurance policy includes any repairs or damages to your vehicle or yourself.
2. It is a Legal Requirement
In most countries or states, car insurance is a mandatory requirement. The minimum required coverage for is for Personal Liability and Property Damage. This policy protects you, especially when you are the one in error. The personal liability refers to the injuries and bodily harm that you might cause in an accident. Property damage covers all the harms that you might cause to properties like street lights, mailboxes, or even people’s homes. If you do not have this minimum, you are liable for legal prosecution, violation tickets, and also you could lose your driver’s license. Some states also have different requirements when it comes to applying for your car insurance. Depending on your driving record, you may need to file for an SR-22. You can learn more about it here: sr22 insurance kansas
3. Safety and Protection
Life could sometimes be pretty unpredictable. It tends to surprise you in ways you are not prepared for. Generally, insurance was adapted to ensure that you are protected from the uncertainties of life and ensure you have contingencies to handle any bad luck that might come your way. Comprehensive car insurance works in a similar way providing the protection you need and ensuring that you are safe financially. It can be pretty difficult to handle accident costs from your coffers. However, this responsibility is taken from your shoulders by the insurance company if you have a subscription.
4. Legal Protection
If you still think that insurance is a waste of money, you will probably change that stand when you are slapped with legal proceedings that will drain your pockets. Legal proceedings can take ages to conclude, and this cannot be easy to handle from personal accounts. An insurance cover will ensure that you are covered by funding these legal actions.
5. Your Vehicle is an Asset
After your house, your car is probably the next expensive thing. A car is an important asset in your home not just because of the social status but because of its services. Owning a car will provide you with commuter services to any location when you need it. Therefore it is important to insure your car from any occurrences that may rob you of these services.
6. Protection from Natural Disasters
Insurance will protect you from damages caused by disasters or other occurrences that are not humanly engineered. This includes tornadoes, hurricanes, floods, etc. If anything natural happens to your vehicle and causes damages, repairs, and other personal harm costs can be difficult to afford.
However, insurance will ensure that you are covered, and just a claim is enough to ensure the restoration of your vehicle.
7. Coverage of Non-Accidental Damages
Apart from accidents, your car is also prone to other damages such as vandalism and theft. It is important to ensure that your car is protected from the events of destruction caused by damage afflicted to your vehicle by thieves or other general external damages. For instance, you are protected from damages like the ones you might get from vehicle lynching and breakages.
Vehicle insurance will provide you with comfortable nights and coverage in case you go through unpredictable times. It gives you comfort and protects your assets, finances, and health.