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Automobile insurance (or auto/car/motor/vehicle insurance, etc.) is insurance consumers can buy for cars, trucks, and other vehicles. Premiums depend on a lot of things including driving history, qualifications and age. Auto insurance is primarily used to provide protection against losses incurred as a result of motor vehicle accidents. The following content includes all kinds of valuable information about insuring your hippie rig properly!

Table of Contents:
Different Coverage Levels
Your car insurance may cover some or any of the following:

  • The insured party (you)
  • Your insured vehicle
  • Third parties involved

Many different policies from different companies specify the circumstances under which each item/incident is covered. For example, a vehicle can be insured against theft, fire damage or accidental damage specifically.


Related Public Policy from Around The World
In some countries it is compulsory to buy your car insurance before driving on public roads and highways. Generaly the minimum required by statute is third-party insurance to protect interested parties against the financial consequences of loss, damage or injury caused by vehicle accident. Typically, insurance policies against damage (or loss) to the driver's own vehicle is optional. In Australia Insurance (third-party) from the State Government Insurance Corporation (SGIC) is included in driver license registration fee. South Africa allocates a percentage of the money from fuel into the Road Accidents Fund, which goes towards compensating third parties in collisions. Most countries relate insurance to both the car and the driver, however the degree of each varies depending on where you are.


Basis of Premium Charges
Many auto insurance plans charge a flat per-car/per-year price regardless of how much the car is being used. Since a time unit provides no actual measurement of the actual miles of driving exposure each auto accumulates during the year, insurers have no credible basis for the cost comparisons used to support pricing. There are some other methods of differentiating and they include:

  • Reasonable estimation
  • Odometer-based systems
  • GPS-based system
  • OBDII-based system


This site provides a resource for a free auto insurance quote from Geico. It only takes a few minutes (10 minutes tops)...and it IS worth it to check out what they can provide it terms of affordable care insurance.



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