Read this tip to make your life smarter, better, faster and wiser. LifeTips is the place to go when you need to know about Liability Car Insurance and other Car Insurance topics.
Insurance is a necessity. If you drive, you have to have at least basic liability car insurance. If you are wondering how auto liability insurance works, that is the first step to getting better auto liability insurance quotes because understanding auto liability insurance makes you a more informed consumer. If you own your car outright, you can choose to have liability only coverage and that protects you in case you injure someone else in an accident. If you only have the basic state minimum coverage your auto liability insurance rates will be the lowest possible based on only the type of car you are driving and your driving record. Some companies take credit scores into consideration as well.
If you need basic liability car insurance, first find out what your state minimums are and then get online and get a free quote. Since liability covers medical bills and the bills to repair another car if the accident is your fault, you may find that if you ask, "What is liability car insurance?" with an agent on the other end of the phone the agent will tell you that you need basic liability car insurance at levels higher than the state minimums. That is because, in most cases, if you hit an expensive car your state minimums won't be enough to fix that car and you will be responsible for paying the difference.