There have been a deluge of ads offering car owners and drivers cheap car insurance for as low as $19. Imagine that—paying as low as $19 for a required insurance would surely make anyone smile. However, there are skeptics who started to doubt the authenticity of such offer. According to some articles, there might not be any truth that there is insurance as low as $19, and even if there is, it would not even be near enough to the amount of coverage to meet your insurance needs.
The truth is that there are cases where car owners are given insurance for as low as $19. It will probably be the minimum required insurance coverage but it is still a legit policy altogether. Take the minimum Miami auto insurance requirement in Florida. If you are a car owner in Florida, you are required to have this coverage to be a legal car owner:
- Personal injury protection (PIP) – The minimum requirement for this type of coverage is just $10,000. This coverage covers the medical expenses related to the injuries you sustained during the accident. Depending on the case, it can also cover your lost wages and other damages sustained. Of course, the policy will only cover up to the amount of your coverage, which at the minimum is just $10,000.
- Property Damage Liability (PDL) – Aside from PIP, car owners also need to have $10,000 for damages to properties caused by the accident.
As you can see, the minimum auto insurance requirements in Florida are not that complex, so it is possible to get a cheap auto insurance to get that type of coverage. Another factor that is also not mentioned often is that Florida is a “no fault” state. This means that insurance companies are required to cover your claims regardless of whether you are at fault or not.
This is contrary to “fault” or “tort” states like California where claimants are encouraged to make a claim through the insurance provider of the person at fault for the vehicular accident. Because of that, Californians also have a higher minimum car insurance coverage because it takes into account that the driver may be the cause of an accident in the future.
The insurance rate can also depend on the driver or car owner. Here are some things insurance providers consider:
- History of DUI – Getting DUI convictions will not only increase your insurance premiums but the DMV may also require you to an additional Bodily Injury Liability (BIL) coverage on top of your PIP and PDL. DUI convictions mark you as a high-risk driver or someone more likely to get involved in an auto accident.
- Traffic violations – To a lesser extent, history of traffic violations can also mark you as a high-risk driver. Consequently, a clean record can also help you get discounts on your insurance policy.
- Owned car – Owning a sensible car instead of “tricked-out” cars made for racing can also be taken into consideration by insurance providers.
- Odometer – Your odometer shows how frequently you drive. Fewer miles leads to fewer opportunities to get in a car accident.
Basically, the safer driver you are, the less you have to pay for insurance – and that is what you should show insurance providers.