FAQ (Frequently Asked Questions)

Q: If I loan someone my car, are they covered by my auto insurance?

A: Auto insurance generally covers the vehicle, not the driver, so if your car is involved in an accident it gets the full coverage provided by the policy, so it doesn’t matter who is driving.

Q: Why do some vehicles cost more to insure than others?

A: Insurance companies consult various claim statistics to figure on the likelihood that a vehicle will be stolen, vandalized, or involved in an accident, and take into account the costliness of repairs. They base their rates and car insurance quotes accordingly.

Q: How do points on your check driving record affect your insurance rates? 

A: Most motor vehicles departments in the United States have a "point" system. Each infraction adds a number of points to your driving record. The more points you have, the worse your record and the higher your insurance costs will be (if you get one at all).

Q: What is "no-fault auto insurance”?

A: Under a no-fault system the insurance provider automatically pays for collision damage regardless of fault up to a certain limit. In exchange drivers must forego some of their rights to sue the other driver involved in the accident.