Beginners’ Guide to Auto Insurance


In an unfortunate event where reckless driving causes injuries to people and damages to properties, the liable or at fault party must compensate the cost for medical expense and property repair or replacement. It is the idea behind auto insurance and why the law requires every driver to purchase one. Many factors determine the price of the premium for examples type of car, address, coverage, and deductibles.

Mandatory Coverage

In most states, the mandatory coverage every policyholder must buy is Liability Coverage. It consists of two different types of financial responsibility including:

  • Bodily Injury Liability: financial protection available from insurers for an at-fault policyholder. However, the compensation for medical expense following an accident is for the person or people who have to sustain injuries due to an accident for which policyholder is liable.
  • Property Damage Liability: it has the same basic concept as Bodily Injury, but the financial protection is as compensation for property damage.
  • Personal Injury Protection (PIP): some states require policyholders to get PIP, but eliminate the requirement for Bodily Injury Liability. PIP is the financial assistance for policyholder’s medical cost regardless of who is at fault in an accident.

Coverage Limit

Coverage limit for coverage is different from state to state. The good thing is that some insurers have the license to sell and underwrite policies in multiple states, so every buyer always gets a policy plan that complies with the rules. Loya Insurance Company serves in more than a dozen of states and makes sure that consumers can acquire the necessary protection without worrying about its validity. The insurer’s agencies in all states provide their services in agreement with the laws. As a matter of fact, more than 700 branch offices are working under the roof of Loya Insurance Company in Nevada, California, Colorado, New Mexico, Indiana, Alabama, Missouri, Illinois, Arizona, Georgia, and Ohio.


The term “deductible” indicates the amount of money that policyholders are willing to pay before the coverage kicks in. Higher deductibles help reduce the monthly premium payment, but the lower option ensures they do not have to dig deep from their pocket for car repair. Loya Insurance allows consumers to choose deductibles that work best with their budget for optional coverage such as Collision and Comprehensive.

Type of Cars

Luxury, sport, classic, and collectible cars are among the most expensive to insure because they cost a lot of money to repair. Newer vehicles can be either expensive or cheap, depending on accessories such as safety features. Protection for policyholders’ cars is, however, part of the optional coverage. With Loya Insurance Company, there is no obligation to acquire non-mandatory coverage. Everyone has the right to choose between necessary protection and full policy with additional protections. Loya Insurance provides low-cost liability coverage regardless of past driving history as well.

Finding a good balance between affordability and good coverage often involves working with agents. Professional agents can tell whether the coverage includes all the necessary protections or less than ideal. Loya Insurance keeps an open line of communication via phone or emails on the official website to guide consumers on making the right choice according to personal preference and data. The presence of local branch offices also helps both potential and existing customers to have a direct consultation regarding the same issue.

Driving Record

Violations of traffic regulations are necessary variables to decide applications approval and price. Many insurers believe that previous infractions are indicators of applicants’ tendency to repeat the same mistakes, hence application rejection. Loya Insurance does not use past driving record as a variable, meaning all candidates have the same chance of acquiring policies.

Optional Coverage

Collision and Comprehensive are the most common types of optional coverage. The former means protection for policyholder’s car in case it needs repairs or body work following an accident. When damages are results of accidents, Collision coverage kicks in to offer compensations. Comprehensive follows the same rules, but it applies if damages are results of non-accident occurrences for examples falling objects, natural disasters, vandalism, theft, and animals. Loya Insurance Company provides both and allows for flexible deductibles.

After Cancellation

An insurer has the right to cancel a policy for many reasons such as recurrent DUI and major infractions. After cancellation, it can be difficult to find another insurer willing to offer protection, this is not the case with Loya Insurance Company because past driving records are out of the equation during approval processes. Online free quote request forms are available for everyone who wants to estimate the average amount of expense. Request forms are accessible on the company’s official website.

Local Insurance

Another good thing about Loya Insurance Company is the fact that it has been local insurers in many different states across the country. All branch offices are accessible in public locations including grocery stores, street corners, department stores, and commercial office buildings. Consumers can visit the office to consult the agents or ask questions about insurance issues in direct face to face circumstances.


Source by Nadine

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