You’re probably aware that car insurance can get expensive when you compare it to other types of insurance such as health or life insurance. But what you might not know is just how expensive car insurance can be, and why this is so shocking. Car insurance in the United States, for example, costs an average of $833 per year! And as a result, many people are choosing to drive without auto insurance at all, which can lead to fines and even imprisonment in some states! Let’s take a look at how much car insurance costs, how it affects our lifestyles, and why it’s so expensive.
How Car Insurance Works
First off, let’s go over how car insurance actually works. In its simplest form, car insurance is a contract between you and an insurance company, or sometimes a third-party reinsurer. This contract states that, should you get into an accident and cause damage to someone else’s property (or worse), your insurance company will pay for any damage or injuries caused by you. They may also compensate you for any damage done to your own vehicle.
How to Re-Engineer Your Insurance Costs
There are a number of ways to reduce your insurance costs, but it depends on what type of policy you have.
How to Get Car Insurance That Cost Less
A way to save money on car insurance is to bundle your home, auto and life policies with one provider. You can typically save 15% or more by bundling these policies together and getting a discount for paying your premium up front. Let We Insure Things shop your Insurance