Before buying auto insurance on the world-wide web, it’s important that you know exactly what you are buying and whom you are buying it from.  Anyone whom markets and binds auto insurance online maintain an insurance license in the state your car is registered.  A license to both sell and bind auto insurance coverage must be granted by the  State Insurance Department to which the internet site wants to sell auto insurance.  Before this license can be granted; both school and an intense licensing exam must be administered for each insurance specialty you wish to sell.   Although there seems to be hundreds of auto insurance agent websites which seem to sell auto insurance on the World Wide Web, it seems to me many merely collect and sell your personal private information and data to the highest bidder.

 Auto Insurance rates are filed and approved by the same State Department of Insurance as well. These filed rates determine how your auto insurance premium is calculated for a specific risk. Please remember a licensed agent is the only individual whom can sell you an auto insurance policy.  Cheap auto insurance companies must structure the rates they charge to both meet the needs of the auto insurance buyer and the profitability for the carrier.  Where all car insurance carriers insure younger drivers and high value vehicles, there is a huge rate difference between the carriers whom insure these risks.  Some specialize in insuring High Risk Drivers and Cars.  Since they are accustomed to insuring these risks, they collect much more premium to offset losses.  Auto liability insurance covers a driver and its occupants  should the vehicle be involved in an accident with the owner behind the wheel.  It pays those medical bills that may be incurred as a result of the accident.

Auto insurance property damage  pays to repair or replace the property of others damaged by your vehicle.  It does this up to the limit indicated on the policy declaration. The amount to be paid by the insuring party is usually determined by the limit that that was agreed upon when taking out the policy.   An example of property covered includes fences, street signs or other vehicles. Collision coverage pays for any physical damage that occurs to the vehicle. It does not matter whether the accident was your fault or not, the auto insurer will cover the damages less the chosen deductible .

A comprehensive auto insurance cover offers protection against natural hazards and not just typhoons and hurricanes; it would also cater for repairs for other instances like hitting a deer on the road or a tree falling on your parked vehicle. It is very useful for motorists who do not have any other type of vehicle insurance coverage on their policy. Even if you don’t maintain collision coverage of you car, having comprehensive insurance coverage is inexpensive and worth maintaining 0 even on a 10 year old car. Additional auto insurance choices for motorists include accidental death, rental cars loss of income coverage. 

-Mike

Michael E. Dortch
President &  Managing Agent
InsureDirect.com
Corporate Home Office
618 South Broad Street
Lansdale, Pennsylvania  19446
(800) 807-0762  ext. 602