Auto Insurance For Drivers In Plano And All Of North Texas

Do You Need Full Coverage?

If you live and drive a car in Plano Texas, you must have Auto Insurance coverage (or prove financial responsibility). However, there are no laws stating you must carry full coverage. If you owe money on your car, the lender will insist on full coverage but if the car is paid for, you only need liability insurance, and you can save a lot of money with this strategy. Yet, one must be careful when dropping vehicle insurance and here is an example why.

James L had a 9 year old pickup truck which still ran very well. In fact, he used it as a daily driver for work transportation. One day James was going over his budget and looking for ways to cut costs, when he came across an online article on dropping insurance coverage. It seemed like a good idea and James decided to contact his agent.

The agent told him he could save by dropping collision coverage but he should consider keeping comprehensive and uninsured driver coverage. James wanted to save as much money as possible on Car Insurance and dropped everything but liability.

James lowered his insurance premiums but 8 months later a very large tree fell on the truck in his driveway. It happened during a thunderstorm with high winds. The damage to his truck was significant and exceeded the market value of the truck ($4,100). As a result, James had to come up with the money for another truck and this was not easy. In fact, it caused him financial hardship for several months.

Had James decided to keep comprehensive coverage on his Automobile Insurance policy, he could have avoided this problem. His insurance company would have totaled his truck and paid him its market value (minus the deductible amount).

What Is Auto Insurance?

Insurance for your car is designed to cover the hazards you face as a driver or passenger in a motorized vehicle. It pays for vehicle damage, injury claims, and other types of damages and incidents involving auto damage. You choose a deductible and this is the amount you are responsible for when claims are paid to you from your insurance company.

Do I Need More Than Basic Car Insurance Coverage?

Just because you are not required by law to carry insurance on your car, doesn't mean you should drop the coverage. As you can see from James' example story, you never know what might happen. However, if you choose to keep basic coverage only, all you will need in the state of Texas is proof of financial responsibility or liability insurance in the amount of 30/60/25.

30/60/25 Stands For:

  • $30,000 medical benefits maximum for one person
  • $60,000 total medical payments for one incident
  • $25,000 in personal property damage protection

Automobile Insurance Options

To fully protect your vehicle and financial interests, you can choose from several important insurance options. For example:

  • PIP - stands for personal injury protection. Your insurer must offer you this insurance but you can reject it. A typical policy provides $2500 in medical payments or lost wages benefits. However, you can raise thisa mount. Some people reject this coverage if they have good health insurance.
  • Collision - this pays for damages to your car if you are the at fault driver. This is the most expensive kind of Auto Insurance.
  • Comprehensive - pays for non vehicle accident damages. This can include falling trees, fire, theft, or vandalism.
  • Uninsured/underinsured drivers - this protects you from damages caused by a driver with no or insufficient insurance coverage. It will also cover hit and run claims on your vehicle.
  • Increased liability - this is a very important option to consider because minimal liability coverage limits could be many thousands of dollars less than actual claims and you will be responsible for the remainder. Many Texas drivers choose to carry 100/300/100 insurance or greater.

What Drives Car Insurance Rates?

The premiums you pay will depend on these factors:

  • Age
  • Sex
  • Marital status
  • Driving record
  • Residence (where you live)
  • Type of vehicle
  • Vehicle usage
  • The insurance company you choose - rates can vary considerably from company to company. Some companies have lower premiums and also offer several different kinds of discounts.

Who Can I Talk To About Insuring My Car In Plano?

When you need insurance for your vehicles, you can go online and compare all the possibilities or talk to an insurance agent who represents only one point of view. However, you also have the choice of contacting an independent insurance professional from Advantial Insurance Agency.

When you seen an independent insurance agent, you have an experienced insurance pro checking out available insurance options on your behalf. This can save you a great deal of money on premiums and you can be assured you are getting the best coverage possible.

Your Automobile Insurance policy may be insufficient or you could be paying more than you have to. Come to Advantial Insurance Agency today for a free no obligation quote on your insurance needs.