Cheapest Car Insurance in Massachusetts

If you are planning to buy a car in Massachusetts, you should think about best car insurance too! Car insurance in Massachusetts is different from the policies in many other states. That is why you should understand about auto insurance in Massachusetts. You must be aware of the state’s minimum coverage limits and car insurance requirements. There are several different types of coverage in this state. And, some coverage options are better than the rest! Before you buy a plan in Massachusetts, you must compare many quotes and understand your neighborhood.

In this short article, you will read about car insurance in Massachusetts. You will gather facts on how to buy auto insurance policies, the cost of insurance and laws in the state.

Car insyrance rates in Massachusetts

On an average, car insurance in the state of Massachusetts costs 1,191 USD per year. The cost of your premium depends on several factors. According to recent studies, the frequency and severity of claims in your city and state will increase your car premiums. Here are few other factors:

The type, model and age of your car
Your overall driving record
Variables used by a specific car insurance company in Massachusetts

Car companies evaluate their customers very carefully. Before they give you a final quote, they take care of many important factors. That is why you should compare and contrast insurance companies. The cost of a “specific” insurance policy can differ by several thousand dollars between several companies. Here is a simple example to help you understand this:
Boston in Massachusetts is an expensive destination for car insurance policies. The policies cost around 3,477 USD. This is 2,000 USD more than the cost of car insurance in the other cities of Massachusetts. The cheapest car insurance in Massachusetts is 950 USD.

To understand the cost of insurance in your city, you must use your ZIP code. Enter your ZIP code in the comparison and evaluation tools. Studies reveal that buyers can choose from 3 different coverage groups and 6 different age segments. If you are new to car insurance in Massachusetts, you must hire a reputed service provider.

Minimum Requirements in Massachusetts

Just like every other state in the United States, Massachusetts has a set of minimum requirements for drivers. The state expects all car owners to buy minimum bodily injury liability of 20,000 USD or at most 40,000 USD. You must have a minimum property damage liability of 5,000 USD. To be safe, you must buy an uninsured or underinsured motorist bodily injury coverage of 20,000 USD or at most 40,000 USD. You can opt for personal injury protection of 8,000 USD. These are minimum car insurance Massachusetts requirements. With very cheap insurance policies, you will receive minimal coverage. That means you will not be able to cover even minor accidents.

According to recent surveys, drivers should have a minimum liability of 20-40-5. Your vehicle should have matching uninsured and underinsured motorist coverage too. Throughout the state, Personal injury protection would pay for the first 2,000 USD of any healthcare expenses. In case you don’t have healthcare coverage, you must buy PIP for at least 8000 USD.

For a lot of people, buying cheap policies is a safe option. Unfortunately, that is not how the car insurance industry works. If you have savings and assets, you are likely to end up in lots of trouble after an accident. So, don’t compromise on your car insurance Massachusetts. You must always look for maximum possible coverage. Buying a “good” car insurance policy will always need more money. Luckily, you will save more in the long run.

For complete coverage in Massachusetts, you must pay 652 USD more every year. This sums up to 54 USD a month. Interestingly, these figures are calculated after a deductible of 500 USD. Never compromise on your insurance coverage. Always talk to your local insurance service provider and try to buy the market’s best plan.

Recommended Car Insurance Coverage in Massachusetts

For a lot of drivers, cheap car insurance Massachusetts is their best options. That is because they have very low incomes or old cars. Unfortunately, you need a good insurance plan to cover minor wrecks too. Your insurance policy should be better than what a minimal plan can cover. Here is a simple example to help you:
You have caused an accident in Massachusetts. The victim’s car values at 20,000 USD. Next, you have to take care of medical expenses worth 45,000 USD. All damages not covered by insurance should be handled from your pocket. This results in a total of 40,000 USD (15,000 for the damages and 25,000 for medical charges).

What would you do in such expensive situations? How will you handle the costs? Well, you need a proper insurance plan to help you.

Liability

At all times, invest on an insurance policy that is more than the state’s legal requirements. If you have lots of assets and savings, you must learn to play safe. When you have plenty of funds, your risks of being sued after an accident is high. Once a full insurance coverage can take care of the expenses. Here are situations when liability coverage proves to be useful:

If your car is more than 100,000 USD, you must pick a coverage worth 250-500-100 or more.
If your car is less than 50,000 USD, you must pick a coverage worth 50-100-50 or more.
If your car is between 50,000 and 100,000 USD, you must pick a coverage worth 100-300-100 or more.
If you are planning to finance or lease your car, the coverage should be 100-300-100 or more.

Collision and Comprehensive Coverage

Collision coverage comes into the picture after an accident. Comprehensive insurance coverage becomes useful when your car is stolen or damaged from flooding, vandalism, animal strikes, hail or fire. These are optional insurance plans. They are not for budget busters. In Massachusetts, you should pay 361 USD for collision coverage and 130 USD for comprehensive coverage.

Uninsured or Underinsured Motorist

These are important coverages in the state of Massachusetts. When you choose uninsured or underinsured motorist policies, you must be careful with your liability limits. The coverage should match the limits perfectly. These insurance policies come into the picture when your car is hit by someone who doesn’t have any insurance. Or, the accident should be caused by someone who has no money for the expenses (both medical and damages).

Gap Insurance

When you don’t own your car completely, you need gap insurance. Gap insurance proves to be handy after accidents. By definition, gap insurance takes care of the difference between your outstanding lease/loan amount of the value of your vehicle. Here are three instances when gap insurance proves to be useful:

You have leased your vehicle
You have financed your vehicle partially! If you have paid less than 20% for the vehicle, gap insurance is a must-have.

There are plenty of theories behind gap insurance coverage. Indeed, it is a useful policy. If you are running short of money, but you need a car immediately, gap insurance can assist you. Remember, gap insurance cannot help you buy a new car.

Laws in Massachusetts

Cards

In Massachusetts, you will not receive any car insurance cards. That is because car registration acts as a proof. When you register the car, you will receive a car insurance policy. The moment you buy a car, the forms are filled and signed. This form is sent to the Massachusetts Registry of Motor Vehicles.

Safe Driver Insurance Plan

Unlike many other states, Massachusetts doesn’t have a point system. Drivers are monitored using a Safe Driver Insurance Plan. The ultimate aim of this plan is to support safe drivers. If you have violated traffic signals or caused accidents, you will have high insurance premiums. This plan is not used by all insurance companies. But, it would be wise to understand and follow this plan. Here are few discounts from the SDIP plan:

Discount+ for excellent drivers
Discount for excellent drivers
Discount for excellent drivers with a single incident

Lemon Laws

This is a law to help leased and new vehicles. All vehicles that pass local inspections will be eligible for interesting discounts. Of course, the vehicles must have safety-related equipment and “clean” drivers.