When you purchase a vehicle in Lafayette, Colorado, you must follow the state guidelines for the minimum insurance requirements. The amount that is required so that you can own and operate a vehicle may depend on a few key factors, so it is important to identify the best auto policy for your needs.
Minimum State Requirements
Regardless of where you purchase your vehicle and how you plan to use the car, you must meet or exceed the required minimum for the state. That means you need a liability protection policy before you drive off the lot with the car.
A liability plan protects the property of other drivers if you cause an accident. It also includes personal injury protection for the driver and passengers in your car if an accident occurs. The state requires that you purchase liability protection.
Although the state minimum is a law, you may be required to buy more coverage if you purchase the car with a loan. The reason is that you do not fully own the car until after you pay off the lien, so the lender can have additional requirements associated with the purchase of your car.
Depending on the lender and the details of your agreement, the amount of protection that you need may vary. Some insurers may ask that you purchase a comprehensive plan while others only specify certain situations, such as crash protection or protection against theft.
The state guidelines are only the minimum that you must purchase when you own a car. It is the foundation that allows you to create a policy that is best for your concerns and goals. Contact the 1st American Insurance Agency to speak to an independent agent.