Most would agree that auto insurance has many benefits. Of course, auto liability coverage provides compensation for the damage you may cause to other people’s property and vehicles and personal injury coverage. Conversely, comprehensive and collision insurance covers damage to your vehicle. However, auto insurance doesn’t cover damage to your property. Our Newport Beach CA team at Murvay Insurance understands that all the elements of auto insurance may not be understood by many drivers and are committed to educating Newport Beach, CA drivers. 

What’s Covered under a Standard Auto Insurance Policy?

A standard auto insurance policy provides medical, property, and liability coverage. Auto insurance falls into three basic categories: liability, comprehensive, and collision, although there are additional forms of auto insurance. Liability coverage pays for damage or injury you cause to someone else’s property, vehicle, or body. Comprehensive and collision insurance covers damage to your own vehicle. Every state sets its minimum limits when it comes to auto insurance. These are the auto insurance limits that every driver must maintain to drive in the state they reside in legally.

Other Considerations

However, if you are a homeowner, damage caused to your property is covered under most homeowners’ insurance policies. If you don’t own a home or don’t have homeowners insurance, you don’t have coverage for damage to your property. However, one of our agents at Murvay Insurance may be able to help you find insurance that could be used to cover personal property damage. Our Newport Beach, CA team knows that drivers have questions regarding what’s covered under an auto insurance policy, and we’re here to answer those questions. Give us a call. We’d be happy to answer your questions.

In the state of California, you are required to have proof of insurance whenever you operate your vehicle. Acceptable forms of proof include a physical insurance card or a digital copy on your mobile phone. You should be able to produce proof of coverage on the spot anytime it is required by a law enforcement officer or when an accident occurs.

California’s Car Insurance Grace Period

California has a new car insurance grace period of 30 days, so you will not be required to provide proof of insurance as soon as you leave the car lot. This means that you have 30 days from the date of purchase to obtain auto insurance coverage for your new car and provide it to the state DMV. If your previous vehicle was covered under an existing policy, the grace period is extended to 45 days for coverage on your new car. The professionals at Murvay Insurance of Newport Beach CA are available for any questions you have regarding the California car insurance grace period.

Getting Car Insurance Before Buying A Car

However, it is important to note that you are not protected in the event of an accident during the grace period. If you are involved in an automobile accident during the grace period and you do not have insurance coverage, you may be held personally liable for any related costs to that accident. Therefore, you may want to consider buying insurance before you purchase your new car.

Purchasing car insurance before you buy a new car is just as simple as picking out your new car. All you have to do is contact an insurance company and pay for the new policy.

While you may be in a hurry, it is not in your best interest to make a spur-of-the-moment purchase. Obtaining the right coverage requires careful planning and comparison shopping. When you are ready to find the coverage you need, contact Murvay Insurance of Newport Beach, CA for more information.

If you are a driver you should understand how important auto insurance is. Driving without proper auto insurance is not only dangerous, but it is also illegal and in most states, including California, is considered a crime. Therefore, it is important to purchase a proper auto insurance policy before hitting the road in your car. Murvay Insurance serving clients in Newport Beach, CA and other surrounding towns prepared a list of threats of not having auto insurance. 

Threats of Not Having Car Insurance You Should Know About

Here is a list of risks you take when you decide to drive without auto insurance:

• Suspension or removal of your driver’s license. If the police catch you driving without car insurance, your driver’s license may be suspended. As a result, you will not be able to drive, which makes it one of the most unwanted risks. 
• You will have to pay for all the damages yourself in case of an accident. One of the purposes of auto insurance is to help a policyholder cover the expenses related to a car accident. However, if you do not have auto insurance, you will have to pay for everything yourself. 
• You may face high-risk insurance rates in the future. If you were caught driving without auto insurance, it may be much more expensive for you to buy car insurance in the future. 

If you live in Newport Beach, CA and you are looking for an insurance agency you can trust in order to buy an auto insurance policy, Murvay Insurance is exactly what you need. We specialize in all types of insurance and have years of experience. Do not hesitate to call us if you have any questions or thinking of getting a car insurance policy. 

Buying an insurance policy means understanding the ins and outs of everything included. Understanding an insurance policy means asking questions and learning everything possible about your coverage from your Newport Beach, CA insurance agent. If you are unsure of something in the policy, including what the term deductible means in your auto insurance, do not hesitate to reach out and ask the experts at Murvay Insurance for additional information. 

What Is an Auto Insurance Deductible? 

When referring to your auto insurance, a deductible is the amount of money deducted from any car repairs resulting from an accident or other collision that your insurance company pays. Essentially, this is the amount you must pay out of pocket for repairs and replacement. Auto insurance deductibles are generally $500 or more, depending on the coverage options you select when buying your policy. 

How Do Auto Insurance Deductibles Work? 

Deductibles for auto insurance are different from deductibles used for health insurance. Each claim is treated independently with car insurance, and you must pay the deductible amount out of pocket for each claim. 

Here is an example. If your deductible is $500, and you were in an accident with car repairs totaling $2000, then your out-of-pocket costs are $500, and your insurance company pays the remaining $1500 to your Newport Beach, CA repair shop. In the event the damage is not greater than the deductible amount, then you’re responsible for paying 100 percent of the costs. 

How Do I Select the Right Deductible? 

Figuring out how much your deductible should depend on your circumstances. It all depends on what you can afford. Selecting a higher deductible to save money on premiums only makes sense if you can afford to pay the deductible in the event of an accident. For example, if you have a $1000 deductible and get into an accident, the money you saved on your premiums no longer matters if you cannot pay it because you may have to take out a loan or use a high-interest credit card to pay your out-of-pocket costs. 

Call the experts at Murvay Insurance to discuss auto insurance coverage options and which deductible is best for you.