Shopping for Providence car insurance is a snap with our free quote comparison service. Enter your zip code in to the tool to shop for free Providence, RI car insurance quotes from competing insurance companies. Get started now!

Finding Cheap Providence Car Insurance

In economics, it is said that a dollar saved is equivalent to a dollar earned. People across the United States are probably following this basic concept of economics and this is the reason why after job losses, everyone is trying to save as much as possible. Rhode Islanders, especially the people from Providence, are practicing the same concept while purchasing auto insurance coverage. However, they rarely go to the extent of shopping, the way they shop for other products and services.

If you are from Providence, you should understand the fact that cost of Providence auto insurance varies significantly from company to company. Therefore, you have the potential of saving money if you shop around and compare plans as well as companies. However, to get the best combination of price, features and service especially suited to your needs, you should be familiar with the auto insurance laws prevailing in Rhode Island.

You can find below helpful information that you need to know in order to choose the Providence auto insurance plan that not only covers the risk but also comes within your budget. Also, an important fact here is that insurance law is formulated by state and is monitored for its compliance by the local authorities. Rhode Island has its own auto insurance policy and Providence officials monitor its compliance by auto driver and owners.

Rhode Island requires every driver and owner of an automobile in Providence to purchase the prescribed minimum auto liability insurance in order to be financially responsible in case of an auto accident. The state of RI uses the tort system while settling losses caused by auto insurance. Under this system, you buy liability insurance that protects those who are the victims of an automobile accident caused by you. Not carrying auto liability coverage is against the law and local officials at Providence may slap penalties against such owners and drivers.

Car Insurance in Providence: Mandatory Liability Coverage

All drivers and owners of automobile in Providence must purchase the prescribed minimum auto liability coverage. This liability coverage has three parts which are liability for bodily injury (BI), liability for property damage (PD) and uninsured/underinsured motorists coverage (usually referred to as UM/UIM).

Bodily injury liability covers up to a limit towards injury to victims of an auto accident caused by you. This insurance protects you against their claims for such things as medical expenses, lost wages and pain and suffering. Property Damage liability coverage covers expenses towards the damage of property of others caused by you. PD liability not only covers others car but also things such as telephone pole, lawns, fence, or even a building. This coverage pays in both the situations, when you are driving and when some bode else is driving with your permission. The limits of liability coverage are as follows:

• Maximum up to $25,000 coverage for one person in an accident
• Maximum up to $50,000 for all the people in one accident.
• Maximum up to $25,000 coverage for property damage in an accident.

Uninsured/Underinsured Motorists Coverage

This coverage protects you when you are injured in a hit-run-run accident or in case of an accident by a driver who does not have auto insurance. This coverage basically means the coverage that other driver should have bought but did not.  This coverage is also provided for if the driver at fault has insurance but not enough to cover your claim. Uninsured/underinsured motorist coverage covers bodily injury and property damage. However, property damage has a condition of a deductible of $200.

Additional Providence Car Insurance Coverage

The bodily injury coverage, mentioned above, does not cover injuries caused to you or anyone else driving your car. Also, courts may hold you liable to pay compensations which may be much higher than the minimum limits of liability. In this case, you may have to pay from your own resources, which is a difficult task. Therefore to avoid such unpredicted financial loss, which often destroys one’s financial position, you have the option of purchasing additional Providence auto insurance coverage. Two of the important additional coverage options are:

• Collision Insurance: Collision is physical damage. Therefore collision coverage pays for physical damages caused to your car after collision with another car or tree etc. Collision insurance is usually sold with deductibles and the larger the deductibles the lower the premium would be for you.
• Comprehensive Insurance: Collision insurance pays for damages to your car caused by all reasons other than collision. For example, damages caused by missiles or falling objects, fire, theft, explosions, flood, earthquake, vandalism, riot etc.

While, collision and comprehensive insurance are not mandatory by law, the leasing institution from which you leased your car may ask you for collision and comprehensive insurance. Similarly, the lending institution that financed your vehicle may require collision and comprehensive coverage.

Smart Shopping For Providence Car Insurance

Once you are familiar with the type of coverage you need, it is time for smart shopping. Smart shopping means the best product at the least price for which you have to compare quotes of different Providence car insurance companies. It is important to mention here that while comparing, don’t repeat the most common mistake of comparing insurance quotes only on the basis of price. This is because auto insurance coverage is purchased to minimize unexpected future financial losses.

• Discuss & finalize your specific needs.
• Get quotes from different insurers
• Compare quotes on the basis of price, risk coverage and other such features.
• Note that increasing deductibles reduces premium.
• Negotiate for discounts: Check if any discount exists.
• Before purchasing read carefully all terms & conditions.

What if the quote with the least price does not cover all the risks that you want to cover? Therefore, always compare quotes on the basis of some of the most important factors which are specific to insurance products such as price, risk coverage, record  of claim settlements by the company, customer service policies of the company, financial position, etc.

Based on these factors, choose the quote which covers all the required risk and has the lowest price. If a particular quote covers all of your risk but does not fall in your budget, talk to the agent/broker and ask for discounts. Usually, Providence auto insurance companies offer various discounts in order to attract clients.

Finally, while shopping for Providence, RI auto insurance coverage, you should provide the same and correct information to your agent/broker or the insurance companies. Because, insurance companies calculate quotes on the basis of information provided by you and you will be able to compare quotes only if quotes have been calculated by different insurers on the basis of similar and correct information.

Find The Providence Car Insurance Policy You Need Today!

Start shopping for Providence car insurance right now with our free Providence car insurance quote finder! Our free tool helps you shop for Providence auto insurance rates from top insurance companies online.

Find the Providence auto insurance policy that you can afford today!