VIDEO: 5 Factors That Affect What You Pay for Auto Insurance               
Everyone pays a different amount for auto insurance. Watch this video to learn five key factors that influence how much you’ll pay. Then, answer the questions on your worksheet.

ARTICLE: Deductibles and Coverage Limits
In every auto accident, after asking, “Is everyone safe?”, one of the most important questions you may want answered is, “Who pays?” Understanding your deductible and coverage limits is crucial to determining that. Review the explanations and examples in this article, and then determine “Who pays?” in these sample scenarios.

Important Note: This resource reflects this information but does not directly address it: For auto insurance, if the insurance claim is a liability, where the insured driver has harmed another person and/or damaged another person’s property, the insured driver does NOT owe a deductible; insurance covers the entire bill up to the coverage limit. If the insurance claim is to replace or repair the insured driver’s own property, the insured driver WILL typically owe a deductible.

ARTICLE: Minimum Car Insurance Requirements by State
Another component of having auto insurance is knowing what your state’s requirements are. Each state requires drivers to carry different levels of insurance to be legally allowed to drive. Review the information and answer the questions on your worksheet.

LEARNING TARGETS:

• I can explain a deductible, out-of-pocket expenses, and what insurance will pay for in different situations.
• I can list factors that determine auto insurance premiums.
• I can describe the main types of auto insurance policies and compare state requirements.
• I can choose an appropriate level of car insurance coverage.