Car insurance is often confusing and the rules are ever-changing. If you think you’ve got a good handle on the ins and outs of vehicle insurance, we’ve put together a Car Insurance Quiz to help test your knowledge!
What Does Comprehensive Coverage Not Actually Cover?
- Collision damage
- Flood damage
- Animal striking
- Car Theft
Explanation: Interestingly, the term comprehensive coverage is not as all-inclusive as it sounds. Comprehensive coverage is there to supplement your main collision insurance coverage and pays for any damage to your car not caused specifically by a collision. If your car is damaged by a natural disaster, stolen by a thief, or damaged by an animal, comprehensive coverage is the policy that will be paying for your damages.
What Does Bodily Injury Liability Cover?
- It pays for damages inflicted on another person only if they go to the hospital as a result of a crash.
- It pays for damages inflicted on yourself and others if either of you go to the hospital as a result of a crash.
- It pays for damages caused by your body or the bodies of those in your car during the accident.
- It pays for any bodily injuries sustained in a crash that you are responsible for.
Explanation: Bodily Injury Insurance is enacted when you are determined to be the one legally responsible for an accident. It covers all injuries to those involved in your crash including yourself, passengers, and the driver and passengers of other cars. The other scenarios on our list are covered by other policies but do not fall under BI Liability Coverage.
Which Factor is Not Referenced When Determining Your Insurance Rates?
- Driver Age
- Driving experience and record
- Vehicle color
- Vehicle safety features
Explanation: The color of your car being important in determining insurance premiums is a widespread myth. While police officers may be more likely to notice or pull over certain car colors, insurance companies do not take this into account when setting a premium. The other factors on the list all make much more of a difference in the rates you will be paying and have a large impact on your yearly insurance cost.
Do you need car insurance to own a car?
- Depends on the state
Explanation: Technically, you can purchase a vehicle from a dealer without having insurance for that car. A dealer will not let you leave their lot however without you first providing proof of insurance to operate the vehicle. The only caveat to this answer is that yes, you could technically buy a second-hand car from someone and drive it home without insurance, but this would be illegal and land you in legal trouble.
Can You Buy Car Insurance After A Car Accident?
- Depends on the state
- Only if you lie to the insurer
Explanation: Unfortunately, as nice as it would be, there are no car insurance companies that offer retroactive car insurance. When you purchase insurance, it can be set up to start on a specified day and time, but never in the past. Even if you were able to purchase car insurance after an accident, you’d still be in legal trouble for not having insurance at the time of the accident.