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How much is car insurance in different circumstances?

How much is car insurance in different circumstances?

We all know that the answer to the question of how costly is car insurance depends on many details. The model of an automobile, the year of a release, the age of driver, region, drivers’ occupation, credit score, etc. On average automobile insurance with minimum coverage is around 565$ and 1,675$ with the full coverage. Nonetheless, the exact amount can be quite different based on the mentioned details. But did you know that you should have car insurance even if you don’t own a vehicle, but just drive it? After reading this, I guess you might ask, how much does car insurance cost? Reading the blog can help you to clarify how much is the insurance cost in different circumstances. We will find out how much is commercial, rental, and non-owner car insurance. So, let’s start the journey! 

How much is commercial car insurance?

Before answering the question of how much is commercial car insurance, let me explain in which situations you will need it. Mainly you need commercial insurance in two circumstances: 

  1. If you own a business vehicle; 
  2. If you use your own automobile for business purposes. Of course, going from home to office is not included for business purposes. You should own business insurance, in case you use the vehicle for meeting customers, or going from A to B work locations; 

Commercial vehicle insurance is required by law in most states. It protects a business and an employee. In case a member of staff gets in an accident while driving a commercial car. The insurance covers the property or vehicle damage, as well as medical expenses. Hence, it’s mandatory to have insurance to be on the safe side. Otherwise, in case an individual gets in a car accident during working hours without commercial insurance, then his/her policy might be reviewed and rejected for the coverage. 

After clarifying what is commercial insurance and why we need it, let’s clarify how much is car insurance per month. As you know, the cost depends on many details, below we will specify them until that let’s review the average cost. On average the commercial insurance monthly cost may vary between 50$ and 200$, depending on the coverage limit. 

It’s notable that each state has a minimum amount of commercial automobile insurance coverage. In Maine state, you can get commercial insurance with minimum coverage at the lowest price, 41$ per month! But in case you run a business in Michigan, the cost will the significantly high – 440$ per month. I guess based on the example you understand how hard it can be to answer how much does car insurance cost per month, without analyzing all the needed information. Let me share with you some details that might affect the final cost. 

  • Manufacturer of the vehicle;
  • The year of release;
  • Automobile model;
  • The type of car. The larger vehicle is, the higher the insurance cost can be;
  • Number of automobiles;
  • Driving records;
  • Previous claims of drivers;
  • Coverage type. Prices are directly proportional to the covered amount. The more policy covers, the higher is the insurance cost; 

I guess you have a clearer picture of how much is car insurance, after reviewing the average monthly costs, what determines the final cost of commercial insurance. 

How much is rental car insurance and in which cases do you need it?

Rental car insurance is dedicated only to rented automobiles. The rental insurance policy covers expenses related to an accident that occurred while driving a rented vehicle. Even though, surprisingly, it is not mandatory for any individual to have that type of insurance, even if he/she drives a rented automobile. To clarify, whether you need to spend extra money on rental insurance or not, you should review personal insurance policy details. Some insurance policy of a private vehicle also applies to rented cars driven by you. 

In case, your private automobile insurance doesn’t apply to rented vehicles, then you should clarify sources of where to get the insurance. There are mainly three sources to get rental insurance:

  • Rental Company – Some rental agencies provide the insurance service as well. Hence, while renting an automobile, you can get the insurance directly from the rental company;
  • Credit card – Some credit cards have extra benefit, providing rental insurance;
  • Third-party insurance company – You can address to an independent insurer agency for issuing a rental vehicle insurance; 

Now I assume you wonder how much does car insurance cost. Likewise, commercial insurance depends on many details, including the type of car you wish to rent. On average the price may vary between 5$ – 13$. It’s notable that the prices are different for each automobile and for individuals, taking into account their driving score. Besides, insurance prices, like the rental cost, are different upon rental agencies. 

After reviewing commercial and rental insurance details, it’s time to move on and clarify how much is car insurance per month for non-owner drivers. 

How much is non owner car insurance?

Now it’s time to introduce non-owner car insurance which might seem confusing at first glance. The non-owner insurance was created specifically for those drivers who frequently drive, but don’t own automobiles. For instance, if you frequently ask your friend for a vehicle, you will definitely need to have non-owner car insurance. 

You might ask, how much does car insurance cost per month in case you don’t own a vehicle. On average the monthly cost is 40$. Notably, as a rule, the insurance rate is by 5% or 15 %. cheaper than a standard policy. The certain cost can be determined upon combining the following data:

  • Living area;
  • Driving history;
  • Coverage limits;
  • Frequency of use;

With the monthly payment of 40$, you can get the minimum coverage for injuries or property damage. The non-owner car insurance doesn’t include covering additional expenses. Now you know how much is car insurance on average and what to expect out of the cost.

Conclusion 

Hopefully, after reading all the above-mentioned information you have a clear picture of how much is car insurance a month in different circumstances. Nonetheless, it is hard to say the exact amount, now you know that commercial insurance monthly costs may vary between 50$ and 200$, depending on the coverage limit. The average monthly cost for rental car insurance varies between 5$ and 13$, and 40$ for non-owner car insurance. Besides, you know the factors that affect the final price. 

Used sources:

Tiago Ramirez
Tiago Ramirez

has had a passion for vehicles since childhood. He has transformed his love for cars into mastering mechanical skills and sharing useful tips with car enthusiasts. Connect and stay updated.

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