Why do you need auto insurance?
It's really all about protecting yourself financially.
- If you're in an accident or your car is stolen, it costs money to fix or replace it.
- If you or any of your passengers are injured in an accident, medical costs can be extremely expensive.
- If you or your car is responsible for damage or injury to others, you may be sued.
- The State of New Mexico requires all vehicles to have liability insurance with limits of 25,000/50,000/10,000. To license and register a vehicle in New Mexico you have to show proof of current liability coverage.
- If you're financing a car, lenders require physical damage coverage to protect their stake in the vehicle.
What is auto insurance?
Auto insurance protects you against financial loss if you have an accident. It’s a contract between you and an insurance company. You pay a premium and the insurance company agrees to pay your losses as defined in your policy.
An auto insurance policy can protect you from several types of losses.
- Liability coverage pays for your legal responsibility to others for bodily injury or property damage.
- Physical damage coverage (sometimes called comprehensive/collision) pays for damage to or theft of your car.
Liability and Physical are the most common types of insurance. But sometimes it is wise to have additional coverage:
- Medical coverage pays for the cost of treating injuries, rehabilitation and sometimes lost wages and funeral expenses.
- Uninsured/underinsured coverage pays for losses if you are in an accident with a party that does not have insurance or does not have enough insurance.
- Towing/Rental coverage pays for towing and rental if your car is in an accident.
Questions to ask your agent
Our agents are here to help you choose the right coverages and limits. As an independent agent, we work with several carriers to find the auto insurance that meets your specific needs. You can request a quote online, stop by or call one of our locations. Here are a few things to ask
- How much can you afford to pay if you get in an accident?
- What types of coverage should you carry?
- What deductible should you choose?
- Do you qualify for any good driver, multiple policy and student discounts?
- Who to call and what happens after you file a claim?