Understanding Your Car Insurance Options
Car insurance is a legal requirement in Wisconsin, but it’s more than just a piece of paper. It’s a financial safety net that can protect you and your assets in the event of an accident. At Balch Insurance, we understand the importance of having the right coverage, and we’re here to help you find the perfect policy for your needs.
Mandatory Coverage in Wisconsin
Wisconsin law requires all drivers to carry a minimum amount of liability insurance. This coverage protects you financially if you cause an accident that results in injury or property damage to others. The state-mandated minimum limits are:
- Bodily injury liability: $25,000 per person, $50,000 per accident
- Property damage liability: $10,000 per accident
While these are the minimum requirements, it’s essential to consider increasing your liability limits to protect your assets adequately.
Car Insurance FAQs
How much auto insurance do I need in Wisconsin?
The Wisconsin minimum auto insurance requirements are designed to provide a small level of protection in the event you damage someone else’s property, or you cause harm to another person. In Wisconsin, drivers need a minimum of $25,000 per person and $50,000 per accident for Bodily Injury Liability Coverage and $10,000 per accident for Property Damage Liability Coverage.
What is the best deductible?
The best deductible is what you can afford to pay out of pocket when you file an auto insurance claim. The higher the deductible, the lower your premium will be, and vice versa. A higher deductible means your accepting a more significant portion of the risk yourself. It is best not to take on more risk than you can afford.
What is “full coverage?”
There is no such thing as “full coverage” insurance. Full coverage auto insurance is a term that is used to suggest you have chosen protection that goes beyond the minimum coverage required by your State. It typically includes collision and comprehensive coverage, medical payment coverage, and uninsured and underinsured motorist coverage.
How can I save money on my car insurance?
You can save money on your car insurance by avoiding moving violations, crashes, DUIs, and other incidents. By having a clean driving record, you may also qualify for a safe driver discount. Students may qualify for good student and student-away-at-school discounts. Your vehicle’s anti-theft devices and safety features may also provide more discounts. Paid-in-full, multi-car, and prior carrier discounts are also common.
How long does an auto accident affect my insurance?
A crash won’t impact your car insurance premiums forever. After about three to five years, your rates should recover. Exactly how long this takes will depend on the type of accident as well as the company you are insured with.
Is buying direct cheaper than buying through an agent?
Buying direct is not always cheaper than buying through an agent. You might think that cutting out the middleman would result in cheaper car insurance rates, but when it comes to insurance, this isn’t the case. In fact, an independent agent, one that represents many insurance companies, can often save you money.
What is the best auto insurance company?
The best auto insurance company differs per individual. No insurance company is objectively the best. It all depends on what you’re looking for. Do you want the best customer service, the broadest coverage, or the lowest rates? Or maybe you have unique coverage or underwriting needs? An agent can help you compare car insurance quotes from multiple insurance companies and find the right policy for your situation.
What is the best or cheapest auto insurance rate?
The best or cheapest auto insurance rate can be found by comparison shopping. Compare premiums as well as differences in coverage. An independent insurance agent can help. They can provide options from multiple carriers, along with the expert guidance you need to make a smart choice.
How do I switch to a new auto insurance company?
You can switch to a new auto insurance company at any time, but to avoid overpaying or violating state law, you do need to watch out for a couple of things. Car insurance policies are often sold for coverage periods of six months or one year. In some cases, you may be charged a fee if you decide to cancel your insurance policy early. You may also be entitled to a refund for the unused portion of the premium. You also want to make sure you have continuous coverage to avoid a coverage gap.
Optional Coverages: Going Beyond the Basics
While liability coverage is mandatory, there are several optional coverages that can provide additional protection for you and your vehicle.
Collision Coverage
Collision coverage reimburses you for repairs or replacement of your vehicle if it’s damaged in a collision with another vehicle or object. This coverage typically includes a deductible, which is the amount you pay out-of-pocket before your insurance kicks in.
Comprehensive Coverage
Comprehensive coverage protects your vehicle from damages caused by non-collision events, such as theft, vandalism, fire, hail, or falling objects. Like collision coverage, it usually includes a deductible.
Uninsured/Underinsured Motorist Coverage (UM/UIM)
This coverage protects you if you’re injured in an accident caused by a hit-and-run driver or a driver with insufficient insurance. UM/UIM coverage can compensate you and your passengers for medical expenses, lost wages, and pain and suffering.
Medical Payments Coverage (Med Pay)
Med Pay covers medical expenses for you and your passengers, regardless of who is at fault for the accident.
Rental Reimbursement
If your vehicle is damaged in an accident and you need a rental car, rental reimbursement coverage can help cover the cost.
Understanding Limits and Deductibles
Your car insurance policy includes limits, which are the maximum amounts your insurance company will pay for a specific type of coverage. For example, a 100/300/100 liability policy means your insurance company will pay up to $100,000 for injuries to one person, up to $300,000 for injuries to multiple people, and up to $100,000 for property damage in a single accident.
A deductible is the amount you pay out-of-pocket before your insurance kicks in for collision or comprehensive claims. Higher deductibles typically result in lower premiums.
Discounts That Can Save You Money
At Balch Insurance, we want to help you get the best possible rate on your car insurance. That’s why we offer a variety of discounts to our customers. Here are some common discounts you may qualify for:
- Good driver discount: If you have a clean driving record, you could qualify for a significant discount.
- Multi-car discount: Insuring multiple vehicles with the same company often results in a discount.
- Bundling discount: Combining your car insurance with other types of insurance, such as homeowners or renters insurance, can save you money.
- Student discount: Good students may be eligible for a discount.
- Mature driver discount: Drivers over a certain age may qualify for a discount.
- Occupation discount: Some occupations may be eligible for discounts.
- Vehicle safety features discount: Cars with safety features like anti-lock brakes or airbags can qualify for discounts.
- Low mileage discount: If you drive fewer miles per year, you may qualify for a discount.
Let Balch Insurance Help You
Choosing the right car insurance policy can be overwhelming. That’s where Balch Insurance comes in. Our experienced agents can help you understand your options, compare quotes, and find the coverage that best suits your needs and budget.
We understand that every driver is different, and we take the time to listen to your individual needs. Contact us today for a free quote or to schedule a consultation.
Disclaimer: This information is intended to be a general overview of car insurance and may not apply to all situations. Please consult with a Balch Insurance agent for specific advice regarding your insurance needs.
