The actual requirements vary by jurisdiction, but most states require some level of auto insurance coverage be maintained. Many states have minimum requirements for liability coverage. The types of car insurance that may be required by a state include liability, uninsured/underinsured, personal injury protection (PIP), and medical payments coverage.

While the terms, conditions and exclusions of each policy will vary, windshield repair and replacement is generally covered under a comprehensive auto insurance policy.

A rented vehicle will generally be covered under an existing car insurance policy (the same policy coverage, including limits and deductibles should apply). However, drivers may choose to purchase a separate rental car insurance policy to cover the rented vehicle if, for example, the owner's car insurance policy deductibles are high, claims on the existing policy want to be avoided, someone is driving outside of the country, or if the owner's car insurance policy doesn’t include collision or comprehensive coverage.

Theft of a vehicle is typically covered under comprehensive car insurance coverage, which can help cover replacement of the stolen car (or parts, if applicable). Personal items stolen from a car, however, are not generally covered by an auto insurance policy. While the terms, conditions and exclusions under each policy will vary, some homeowners or renters insurance policies may cover theft of items from the policyholder’s vehicle.

How much does car insurance cost? The premium a vehicle owner pays for personal auto insurance depends on many factors, including, but not limited to, their driving history, age, type of car, and zip code.

 

Does the vehicle’s make and model affect the auto insurance rate?

A vehicle's make, model, and year typically factor into the car insurance rate. Why? The higher the value of the car may mean it is more expensive to repair or replace.

In almost all states, driving a vehicle without insurance is illegal. So, what happens if someone drives without insurance? It varies but the consequences can include:

• Suspension of license
• Car being impounded
• Fines and possible jail time

The inability to present proof of insurance upon a traffic violation stop by police may result in a ticket, a fine and/or suspension of the driver's license. Failing to maintain car insurance may also result in an increase of future car insurance rates.

From a learner’s permit through a first license, first-time drivers need to maintain car insurance to drive. These drivers may be added to an existing policy or may obtain their own personal auto insurance policy. All state requirements will apply.