From gas prices to grocery costs, it’s almost impossible not to feel tight on your wallet these days. Unfortunately, the trend is the same for auto insurance and other auto expenses. Here are five reasons why you should see an increase in your auto insurance bill.
Don’t go without car insurance
It is very important that you carry auto insurance and keep a record of it in your car. It can be tempting to skip insurance because of the cost. But this is one expense you shouldn’t skimp on if you’re driving, according to Money under 30.
The most important reason to carry auto insurance is that it is illegal to take it out in all but two states. There are still penalties if law enforcement discovers that you are uninsured. In fact, in some states, you may face a permanent suspension of your driver’s license or even a prison sentence. Not worth the risk.
In the event of a car accident, you will need car insurance. It doesn’t matter who caused the collision. You still want insurance to handle the expenses. Insurance can also protect your other assets in the event of an accident. Insurance can help prevent the other driver from stalking your car, home, and bank account for compensation. Finally, car insurance protects you from liability for passenger medical expenses if you are at fault in an accident.
Buying insurance for your car is more than just a legal thing to do. It’s the smart thing to do. Paying that bill can be a pain, but the peace of mind for you and other drivers is well worth the investment.
All this means that car insurance rates may increase. Consider these reasons why you should pay more, and plan accordingly.