Iowa Auto Insurance
Iowa drivers must carry car insurance coverage that meets certain minimum requirements in order to be considered legal drivers. These policy amounts are very low and require all drivers to have at least $20,000 in bodily injury coverage for accidents in which one person is injured, $40,000 in bodily injury coverage for accidents in which more than one person is injured, and a minimum of $15,000 in general property damage coverage. While it can be tempting to opt only for insurance to meet these requirements the fact is most drivers need a full coverage auto insurance policy with much higher levels of coverage and some kind of collision and comprehensive coverage. Liability auto insurance only covers damage to other people’s vehicles so if you just meet the bare minimum Iowa auto insurance requirements odds are you will have no insurance in the event of an accident where you were at-fault.
These minimum requirements are set in place in ensure all drivers can afford some minimum level of coverage however most people make more than enough to cover an increase in coverage and, as such, should really opt for more insurance. If you choose not to do so in an effort to “save money,” be aware that this can end up costing you a lot more money in the long run if an accident, even something as small as a fender bender, happens to occur.
Iowa is a Tort State
One of the main reasons having adequate auto insurance coverage is so very important in the state of Iowa is because it is a tort state. What this means is that, when an accident occurs, one driver will always be deemed “at fault.” If that driver happens to be you, your insurance policy will be responsible for paying for all damages incurred to the other driver, as well as to his or her property. If you don’t have adequate coverage, then you’ll be required to pay for the rest out of pocket. If you can’t pay for the rest out of pocket – and most people can’t handle the high cost of medical bills and vehicle repairs – then you can be subject to litigation, which brings with it hefty legal fees you’ll have to pay. So, without the right coverage, one accident can zap away all of your finances or even ruin your credit history. It’s much better to opt for adequate amounts of auto insurance coverage from the start so you don’t find your personal assets at risk.
Iowa Average Auto Insurance Rates
Iowa’s average auto insurance premiums tend to be much lower than most other states. The average annual car insurance premium paid by Iowa drivers is approximately $960 as of January of 2011. When compared to the average national rate of $1,440, you can see just how affordable Iowa auto insurance is.
Of course, despite the state’s low averages, there are certain factors that can cause you to pay more than most other residents. If you have a poor driving history, for example, your rates can be higher than the average driver’s. The same is also true for those who own luxury cars, which are more likely to get stolen, or who own a vehicle that is considered “more dangerous,” such as a sports car. Fortunately, however, there are ways to get around overpaying in these circumstances.
If you are one of those people who has made mistakes in the past and has a poor driving record there are still many auto insurance companies who overlook a single accident or minor moving violations. Iowa has a very competitive auto insurance market and has a wide of range of auto insurance companies who specialize in good drivers, young drivers and even high risk drivers. However you will need to shop around and compare auto insurance companies.
Get started with your Iowa auto insurance comparison search today and get auto insurance quotes by ZIP code. Simply enter your Iowa ZIP code above and get matched with local Iowa auto insurance companies today!
