The first question to ask yourself when considering car insurance is whether you can afford it.
According to the latest research, most people can’t.
According the Insurance Institute for Highway Safety, the average insurance premium in the U.S. is $2,065 for a 20-year policy.
That’s far more expensive than most car insurance companies offer, especially when you consider the lower rates offered by AAA and Progressive.
“The average rate in our data is about $1,400 per year,” says Matt Dolan, vice president of research for AAA.
“But if you’re an 18-year-old, that’s about $700 a year.”
This is partly due to the fact that insurance companies don’t track a person’s driving history, which can sometimes make them less than accurate.
Insurance companies are also not as upfront about their policies, and it can take time to actually find out what policies are available.
That can leave you with an uncertain price tag when you apply for the policy.
When you compare the price of insurance policies across all types of vehicles, you’ll find a few key considerations when you compare rates.
“For a family of four, it’s probably more cost-effective to buy car insurance with auto insurance as your primary coverage,” says Gary Gull, a consumer analyst with the research firm Kelley Blue Book.
“If you’re going to buy auto insurance, you want it to be on your main coverage, and you want to get the best rate you can.”
When it comes to car insurance, this means paying out of pocket for repairs.
This is usually the case with auto policies, but it can also be true for commercial car policies, which usually cover up to $10,000 of repairs per vehicle.
In other words, a commercial vehicle insurance policy typically will cover $10 per mile, or $10 for every mile that you drive.
That means if you need a $500 repair, you might have to pay $2 for that repair.
You may also have to cover any damage that you may have caused to the vehicle.
“You might want to do some repairs at the expense of your primary car coverage, which may not be covered by auto insurance,” says Dolan.
For commercial policies, if you have a repair you need to cover, the auto insurance company will cover it out of your own pocket.
But if the damage is covered by commercial insurance, it will cost you more.
“That’s when you need more than just the repair,” Gull says.
“It’s going to cost you a lot more to fix a car than it would to pay for the insurance on it.”
Here are some other ways to spend your money: Make sure you have enough cash to cover a few car repairs when you’re out and about.
AAA recommends that you have $5,000 per year in cash on hand for the entire year.
AAA’s website also offers a “free car repair kit” that includes everything you need.
It includes a car seat, brake pads, and oil changes.
“When you’re not using the car, it helps to have that extra cash,” Gill says.
You can also save on repairs by purchasing a commercial policy, which will cover the cost of repairing the car.
Insurance company rates vary widely depending on the type of policy you buy.
“There are a number of different types of policies that are available, but for the most part, commercial is the cheapest,” Dolan says.
AAA estimates that a commercial insurance policy would cost $2.15 per mile or $3.60 for every 100 miles that you drove.
“This is the most economical coverage option for consumers,” Dolphan says.
If you have any questions about auto insurance policies, you can always contact AAA for more information.
For more advice, you may also want to check out our guide to car payments.