At a minimum, you should purchase your state's minimum auto insurance requirements. However, state minimums are woefully inadequate and don't offer any coverage for your own car repair bills. If you want better coverage, you'll need to buy more than the minimum requirements. Insurance companies offer many types of discounts to attract customers, from discounts for good drivers, discounts for car safety, discounts for multiple policies, and even discounts for paying in full or stopping using paper.
You can learn more about when to cancel optional coverage and penalties for driving without insurance in California to make sure you pay for the coverage you need. Mechanical breakdown insurance (MBI) can cover the cost of repairing mechanical parts and systems, such as a car's engine, transmission, and power system. While you generally have a lower deductible than collision coverage, you probably don't need both UMPD and collision coverage, since they basically do the same thing. Collision insurance also includes a deductible, which is the amount you have to pay out of pocket before the insurance pays the rest of the bill.
If you're a new or inexperienced driver, have a new car, a luxury car, or an expensive vehicle, you may want comprehensive and collision coverage to reduce financial risk. With so many options for auto insurance companies, it can be difficult to know where to start to find the right car insurance. To get additional liability insurance over your base car and home insurance policies, consider taking out a supplemental insurance policy. If your car doesn't have much cash value, it may not be worth having comprehensive or collision coverage.
Some states require PIP as part of their “no-fault” car insurance laws, while in other states you can purchase PIP as an optional type of coverage. With this coverage, a GPS device is installed in your car, so you are billed per mile, rather than an annual estimate. Even if you have overlapping coverage, such as personal injury protection (PIP) or health insurance, MedPay is often a good investment because it's affordable and complements other types of insurance. If the damage to your vehicle was caused by something other than a collision, such as a natural disaster, vandalism, falling objects or animals, you're most likely covered by comprehensive insurance.
Liability insurance includes both personal injury liability insurance and property damage liability insurance, and covers the other driver's expenses after the accidents you cause. The best way to find affordable car insurance that offers the protection you need is to compare prices with different providers.