Oklahoma Car Insurance Guide
If you own a car or truck, purchasing auto insurance is not only a smart decision - it is also the law in all 50 states, including Oklahoma.
There are several components of auto insurance, from what types of costs are covered to how much coverage is enough, that should be considered when shopping for auto insurance. Additionally, many car insurance companies offer several discounts that can help making buying auto insurance more affordable.
Auto Insurance: What It Covers
Auto insurance provides five primary types of coverage:
Bodily Injury Coverage:
Bodily injury coverage protects you against legal claims that are made by other injured drivers if you are found to be at fault for an accident.
Liability Coverage:
Liability coverage protects you if you damage another person's property in a vehicular accident.
Collision Coverage:
Collision coverage covers any costs associated with damage to your vehicle caused by another vehicle or object.
Comprehensive Coverage:
Comprehensive coverage covers any costs associated with damage to your vehicle caused by non-vehicular events, such as fire, theft or vandalism.
Uninsured or Underinsured Motorist Coverage:
Uninsured or underinsured motorist coverage protects you if you are in an accident that is caused by another driver with litter or no insurance.
Auto Insurance: How Much Coverage is Enough
Drivers in almost every state are required by law to carry a minimum level of auto insurance coverage. In Oklahoma, the state minimum coverage is 25/50/25, meaning that drivers must carry coverage of at least $25,000 for bodily injury for one person, with a maximum of $50,000 for all injured persons, and $25,000 for property damage.
Many policyholders might consider purchasing the minimum auto insurance coverage required by their state in an effort to save money. However, carrying the state minimum might end up costing them more in the end.
In 2006, the average cost associated with an average hospital stay, consisting of 4.6 days, was $23,958, according to the U.S. Department of Health and Human Services.
If you carried Oklahoma's minimum auto insurance coverage of 25/50/25, then your policy would just barely cover the average hospital stay cost. However, if injured person's health care costs exceed $25,000 for any reason, you would be on the hook for the remaining balance and the injured party could come after your assets to cover those costs.
Auto Insurance: Available Discounts
Today, there are several types of discounts of which policyholders can take advantage when purchasing auto insurance. Here are a few of the most common available auto insurance discounts:
Multiple Policy Discount:
A multiple policy discount applies to those policyholders who combine two or more insurance policies, such as their auto insurance and homeowners insurance, with the same insurance company.
Safe Driver Discount:
A safe driver discount applies to those policyholders with driving records that are free of any moving violations for an extended period of time.
Anti-Theft/Safety Device Discount:
An anti-theft/safety device discount applies to policyholders with vehicles that include anti-theft devices, such as an alarm system, or certain safety features, such as airbags.
Low-Mileage Discount:
A low-mileage discount applies to policyholders who drive less than 10,000 miles per year.
Defensive Driving Discount:
A defensive driving discount applies to policyholders who have completed a defensive driving course approved by the insurance company.