Massachusetts Car Insurance
The time you take in finding the best Massachusetts car insurance rate for yourself when you live in Massachusetts (MA) is a wise investment for motorists in the state. In 2006, the average annual cost of Massachusetts car insurance for a resident was $1,113.00. The possession of car insurance is required by law in Massachusetts, as well as being required by nationwide law. Therefore, it is logical for one to seek the most affordable rate possible. A Massachusetts car insurance quote from a price comparison website, such as ours, is a useful aid in determining the best policy for your needs. It is a quick, cheap, and simple tool to use.
The law of the state of Massachusetts requires that a vehicle's operator maintain certain types of car insurance coverage, such as Bodily Injury Liability limits, of $20,000 per injured person up to a total of $40,000 per accident, and Property Damage Liability coverage with a minimum limit of $5,000. This is referred to as the 20/40/5 minimum for the state of Massachusetts. In addition to the other required car insurance, policyholders in Massachusetts must have $8,000.00 worth of coverage for personal injury protection. Personal injury protection car insurance provides coverage for the medical bills of you and your passengers if you are involved in an accident. Although these are only the minimum requirements, many drivers purchase other policies to increase their coverage. Much of the additional coverage purchased is dependent upon the type of car the motorist owns.
While there are some states who offer an alternative to obtaining car insurance through a private provider, Massachusetts does not. However, until recently, the government of the Massachusetts has played a large part in governing the Massachusetts auto insurance industry within the state. In the past, the government decreed a maximum on the car insurance rates that could be charged to a consumer. This, effectively, disbarred the car insurance companies from increasing their revenues by increasing rates. This system was removed last year in order to encourage new competition to enter the marketplace. There was a large outcry from Massachusetts car insurance companies who claimed they could not compete with nationwide companies who could offer cheaper rates. At this time, only three major nationwide companies have entered the market. All three have avoided opening local offices or hiring local agents. The majority of their advertising is limited to online websites and the use of 1-800 numbers. Reaction to the program has been mixed.
How Competition Lowers Your Massachusetts Car Insurance Quote
Although the mandating of car insurance by state and federal law is not new, the field remains quite competitive. These entire companies' singular goal is to ensure your business. It can be confusing to decide whether to select a nationally known company or a smaller, statewide operation. Nationwide companies can offer lower rates on your Massachusetts car insurance because of the large scale of their operations. However, smaller companies are better able to provide policies towards a particular sector of consumer (like a woman with children) or they may offer policies that are aimed at the type of vehicle being driven. It is difficult to know where to begin. There are two main advantages to the motorist arising out the fracas - the guarantee to find an affordable price and the advent of customer focused tools. With the Internet being the modus operandi for most people today, most Massachusetts auto insurance websites have an option in which you can receive a free car insurance quote. What the average consumer fails to comprehend is that these quotes, while useful tools, are by no means a guarantee that an auto insurance company will cover you in Massachusetts. However, an online Massachusetts car insurance quote is a good step in doing your research.
When you happen to find a policy with a company that interests you, you have one of two options. You can either go online to investigate further or you can call an agent. Regardless of which option you choose, you will then be required to answer many questions about your locale and vital statistics. A Massachusetts auto insurance provider will use the answers to these questions to determine the risk they will be taking on in insuring you. This is called your risk factor. Your risk factor directly affects what your car insurance premiums will be. If you are considered at a high risk to be involved in an accident, the auto insurance provider will set your monthly rates at whatever high enough level they deem appropriate. Because the requirement of automobile insurance is government mandated, many Massachusetts consumers feel it is unfair to allow the rates to be charged at will. A Massachusetts car insurance company is a business though and must make a profit as any other business would.
If the information that you provide when filling out your quote provides a zip code is in the inner sections of a city in Massachusetts, like Boston, MA or Brockton, MA, your rates will likely be higher because it will be thought that you are more likely to be victimized. If your zip code is located in a wealthier city in Massachusetts, such as Cambridge, MA or Fall River, MA, it is thought that you will be more well-to-do and able to pay higher rates on Massachusetts car insurance.
What Affects Your Massachusetts Car Insurance Rates?
The crime statistics in your Massachusetts neighborhood will play a part in determining how high your risk factor will be. The financial status of your neighborhood will also help determine how likely you are to be the victim of a crime. The information you provide about your vital statistics will be taken into account when determining your risk factor. By comparing your statistics to the past number of claims by those sharing your characteristics, the car insurance provider can better predict how likely you are to be involved in an accident or other mischief. It is common knowledge that young males under the age of twenty five are considered to be among the riskiest groups to insure. Middle-aged, married women are considered to be among the lowest risk of the groups.
A Massachusetts auto insurance provider may go so far as to request information about your personal habits like drinking or smoking. For example, if you smoke, the Massachusetts insurance carrier will assume at some point you will smoke in your car. Smoking, while driving, is considered a risky behavior which could potentially distract you from driving and cause you to have an accident. It is important to answer the questions during a Massachusetts car insurance provider's assessment honestly. Many companies have it written into their policies that if a policyholder is found to have falsified information, like about his or her driving record, that the policy and all subsequent claims can be voided at will. When information about you is being ascertained by the car insurance provider, invariably you will be asked about the kind of car you drive. Car insurance companies across the nation keep statistics about what kinds of vehicles are most commonly involved in crashes and how expensive the repairs to them are. Sports cars often have some of the highest premiums around.
Now that you are armed with all of this information, it is time to log online to your computer and obtain your free car insurance quote. It is up to you to utilize the tools available to save your money.
So what are you waiting for? Compare cost and coverage details from the Massachusetts cities of: Boston, Cambridge, Barnstable Town, Fall River, Framingham, Lowell, New Bedford, Newton, Pittsfield, Quincy, Springfield, Worcester and more.