How to Get Car Insurance in 5 Easy Steps

Whether you’re getting car insurance for the first time or merely switching providers, getting a new policy doesn’t have to be a big hassle. In five easy steps, you can be well on your way to cheaper, more reliable car insurance.

How to Get Car Insurance

Do your research and you can get a new policy in no time, whether you’re buying a new car or switching insurance for an existing vehicle.

1. Choose coverages. Before you even think about specific providers, decide what coverages you want. That way, you can compare quotes apples-to-apples in terms of coverage options. We recommend full coverage, which is more than state auto insurance requirements. Read our auto insurance guide to see the minimum coverage your state requires.
2. Compare quotes. Now that you’ve settled on coverages, compare quotes from multiple providers using the exact same information. There are no-credit-check quotes, no-personal-information quotes, online quotes, and non-owner quotes. But note that the less information you input, the less accurate your quote will be when you shop for car insurance. Things like a low credit score from overdue credit cards and a poor driving history or driving record could make your auto insurance more expensive.
3. Speak to agents. Once you’ve researched the companies behind the quotes, speak to an agent at a car insurance company to learn more. We also recommend reading auto insurance company reviews online.
4. Apply for a policy. If you’ve found a company you like, apply for a policy to see what your premiums will be. Set a deductible that you could reasonably pay and determine your limits.
5. Pay your premium. To put your policy into effect, you’ll need to pay your first premium. Your coverage will begin on the policy’s effective date.

Why You Need Car Insurance

“Why do I need car insurance?” is a frequently asked auto insurance question. The short answer is that, in every state except New Hampshire and Virginia, auto insurance is a legal requirement. But even if it weren’t, we’d still recommend it.

To Fulfill State Requirements

You need a minimum amount of auto insurance in every state but Virginia and New Hampshire, as mentioned above. Otherwise, you could run into trouble with the law, as detailed below.

To Avoid Legal Penalties and Fines

If you drive without insurance, you could be forced to pay a fine, or your license or registration could be suspended.

To Register Your Vehicle

You’ll need insurance to register your vehicle unless you live in one of these states:

• Arizona
• Mississippi
• New Hampshire
• North Dakota
• Tennessee
• Virginia
• Washington
• Wisconsin¹

To Cover At-Fault Accident Costs

If you get into a car accident and don’t have insurance, you’ll have to pay out of pocket for the injuries and property damage of everyone involved. Most people don’t have thousands of dollars lying around for potential at-fault accidents, so the best defense is bodily injury and property damage liability coverage. Otherwise, you risk getting sued.

Car Insurance Discounts

Just because auto insurance is a necessity doesn’t mean you have to pay an arm and a leg for it. You can save money and get cheap car insurance rates by using auto insurance discounts for the following:

• Being accident-free
• Always paying on time
• Being a federal employee, good student, homeowner, employee of the auto insurance provider, active military personnel, student away from home, young driver, or veteran
• Enrolling in automatic or paperless billing
• Getting a quote early
• Having a hybrid or electric vehicle
• Having a new car
• Having continuous insurance
• Having multiple cars or people on your policy
• Installing safety equipment like teen driver monitoring or anti-theft devices
• Having a low annual mileage
• Paying annually
• Driving safely
• Signing early
• Taking a defensive driver course or driver training course

Recap

No one really wants to spend money on something that’s just preventative. But if you get into a car accident and it’s your fault, you’ll appreciate every penny you’ve spent on auto insurance premiums. Learn more about where to start in our guide to the best auto insurance.