California residents pay some of the highest rates for car insurance in the United States, and people living in Los Angeles are no exception. When your goal is to keep rates as low as possible, you will want to examine the level of coverage you have to make sure you are not over-insured. After you have examined how much coverage you need then it is important to compare rates from multiple companies in order to find the absolute cheapest auto insurance in Las Angeles, California.
Each state sets minimum levels of auto insurance coverage that all drivers must have. In CA, you must buy at least the following insurance:
$15,000 in Bodily Injury Coverage for an Individual Injured in an Accident
A $30,000 Cap for Injuries Suffered by Two or More People in the Same Accident
$5,000 in Property Damage Coverage
People buy insurance to protect their assets and if you don't own a lot, buying only the minimum level of coverage mandated by law may be sufficient to do this. However, if you own a home or other property, it makes sense to take steps to protect these things from legal action if you are involved in an accident.
Another way you can keep your Los Angeles car insurance rates down if you own an older vehicle that has depreciated is to cancel your collision insurance. Normally, this type of coverage pays for damage to your vehicle, no matter who was at fault for the accident. If your car is fully paid for, you may be better off deciding that you will buy a new vehicle yourself if yours is totaled in an accident.
In a situation where you are making loan payments on a car, many lenders want to make sure that you have collision insurance in place, so they will get paid if a loss occurs. Once the car is paid for in full, you are paying the same premium rate and getting less coverage since the insurance company will pay for repairs up to the value of your vehicle at the time of the accident, not what you originally paid for it.
As you can see, there are several strategies you can use to get cheaper rates when you are shopping for auto insurance in Los Angeles . Why don't you try all of the ones that make sense for your situation?
Get started comparing Los Angeles, California car insurance quotes today!