North Carolina requires all drivers to carry auto insurance to legally operate a vehicle on public roads. While the minimum coverage required by the state is liability insurance, many drivers choose to purchase additional coverage to protect themselves and their vehicles in the event of an accident.
Understanding Auto Insurance in North Carolina
Auto insurance is a contract between a policyholder and an insurance company that provides financial protection in the event of an accident. In North Carolina, drivers must carry liability insurance that covers at least:
Minimum Coverage Amount
Bodily injury liability
$30,000 per person/$60,000 per accident
Property damage liability
$25,000 per accident
If you’re found at fault in an accident, liability insurance will pay for any damages or injuries you caused to other people or their property. However, it won’t cover any damage to your own vehicle or injuries you sustained in the accident.
That’s why many drivers choose to purchase additional coverage, such as collision and comprehensive insurance, which can help cover the cost of repairs to your vehicle or replace it if it’s totaled.
What is Collision Insurance?
Collision insurance is a type of auto insurance that covers damage to your vehicle in the event of an accident, regardless of who is at fault. This can include collisions with other vehicles, objects like trees or fences, or even damage caused by potholes.
In North Carolina, collision insurance is not required by law, but it’s often recommended for drivers who have newer or more expensive vehicles that would be costly to repair or replace in the event of an accident.
What is Comprehensive Insurance?
Comprehensive insurance, also known as “other than collision” coverage, provides protection for your vehicle in the event of non-collision incidents such as theft, vandalism, or weather-related damage. It can also cover damage caused by hitting an animal, such as a deer or a dog.
This type of insurance is not required by law in North Carolina, but it’s often recommended for drivers who want to protect their vehicle from a wide range of potential risks.
How to Get Auto Insurance Quotes in NC
If you’re shopping for auto insurance in North Carolina, there are several ways to get quotes from different insurance providers:
1. Call Insurance Companies Directly
You can call individual insurance companies directly and request a quote over the phone. This can be a good option if you have a specific company in mind, but it can be time-consuming to call multiple companies to compare rates.
2. Use an Online Insurance Quote Tool
Many insurance companies offer online quote tools that allow you to enter your information and get a personalized quote in just a few minutes. Some popular insurance quote comparison sites include:
- State Farm
These tools can be a quick and convenient way to compare rates from multiple insurance providers at once.
3. Work with an Independent Insurance Agent
Independent insurance agents can work with multiple insurance companies to help you find the best coverage and rates for your needs. They can also provide personalized advice and guidance on how much coverage to purchase and what types of policies might be right for you.
Factors that Affect Auto Insurance Rates in NC
When you’re shopping for auto insurance in North Carolina, there are several factors that can affect how much you’ll pay for coverage. These include:
1. Your Driving Record
Drivers with clean driving records and no history of accidents or traffic violations typically pay lower insurance rates than those with a record of accidents or traffic violations.
2. Your Age
Younger drivers and elderly drivers are often considered higher-risk and may pay higher insurance rates as a result.
3. Your Vehicle
The make and model of your vehicle can also affect your insurance rates. Generally, more expensive or higher-performance vehicles will cost more to insure than more affordable, lower-performance vehicles.
4. Your Location
Where you live can also affect your insurance rates. Urban areas with higher rates of accidents and car thefts may have higher insurance rates than rural areas with lower rates of accidents and car thefts.
Shopping for auto insurance in North Carolina can be a daunting task, but it’s important to make sure you have the coverage you need to protect yourself and your vehicle in the event of an accident. By understanding the different types of coverage available, getting quotes from multiple providers, and considering factors that affect your insurance rates, you can make an informed decision and find the right policy for your needs.
What is the minimum auto insurance coverage required in North Carolina?
North Carolina requires drivers to carry liability insurance that covers at least $30,000 per person and $60,000 per accident for bodily injury, and $25,000 per accident for property damage.
Do I need collision insurance in North Carolina?
No, collision insurance is not required by law in North Carolina. However, it’s often recommended for drivers who have newer or more expensive vehicles that would be costly to repair or replace in the event of an accident.
What is comprehensive auto insurance?
Comprehensive auto insurance, also known as “other than collision” coverage, provides protection for your vehicle in the event of non-collision incidents such as theft, vandalism, or weather-related damage. It can also cover damage caused by hitting an animal, such as a deer or a dog.
What factors affect auto insurance rates in North Carolina?
Factors that can affect auto insurance rates in North Carolina include your driving record, age, vehicle make and model, and location.