Arizona Auto Insurance Quotes

The State of Arizona requires drivers to show that they can be financially responsible for any damages that they may cause in an accident.

Drivers must understand their options, responsibilities and the minimum insurance requirements. You should also know what your own unique insurance needs are before signing with any one company.

Always compare rates between companies before making a decision. The easiest way is to simply enter your ZIP code into the FREE auto insurance comparison tool located above.

Insurance or CD

If a driver doesn’t want to carry liability insurance, then they must present a Certificate of Deposit in the amount of $40,000 made payable to the Arizona State Treasurer.

With liability coverage, the people impacted by an accident would work with your insurance company to be reimbursed. If you choose to leave a CD with the state, then the individual would work with the state to have their damages covered.

With either plan, you can be held personally responsible for any damages above and beyond your insurance limits or the CD. This can ultimately lead to wage garnishment as the injured party seeks to be reimbursed for car repairs, medical bills and their own pain and suffering.

When you Need Arizona Coverage

People who don’t live in the state may be defined as residents if they meet certain criteria. Anyone working in Arizona, owning an Arizona-based business, or registering to vote in the state qualifies you as a resident.

If you have a business that transports goods or people throughout the state, then you’ll have to meet their insurance requirements. Finally, paying in-state tuition for yourself or your children, or living in the state for seven months out of a calendar year will upgrade you to resident status.

While your insurance does not have to be based out of Arizona, the company covering your car must be licensed to operate in the state.

When to Show Proof of Insurance

The state is committed to ensuring that drivers are covered, so they take advantage of different opportunities to check for insurance. You’ll have to show your proof of insurance when you register your car, are pulled over by law enforcement or are involved in an accident.

Failure to Get Covered

It’s easy to forget about calling for insurance coverage, but the law will not turn a blind eye to this infraction. Failure to prove financial responsibility can result in a $250 fine and license suspension for three months. These steep penalties are for a first violation, and the penalty goes up with subsequent infractions.

Getting the license or registration reinstated is a time-consuming process, and the fees can start to add up. There are reinstatement and application fees, you’ll have to provide proof that you have obtained insurance, and there may be a SR-22 form that your insurance company will file with the state to prove that you have the state minimum coverage.

Weighing the State Limits

It’s important to weigh the low state limits against the reality of being in an accident. Before deciding how much protection you want to invest in, consider the dangers of settling for minimum coverage.

• $15,000 for damages related to an accident with one individual. This covers the medical bills and personal damages sustained in an accident. However, given the rising cost of emergency medical care, this may not suffice to protect you from lawsuits. If the individual cannot work for a while, the losses will start to increase rapidly.
• $30,000 for damages when more there are passengers in the other car. This limit is a maximum amount that would be shared by all affected people in the other car. If the vehicle is carrying four people and they’re all injured, then the $30,000 in coverage won’t go very far at all.
• $10,000 for damage to the other car. Considering that most new cars have a starting price point of $20,000 and above, this is clearly not enough in the event of a serious accident that totals out the other vehicle. Even a minor fender bender can result in several thousand dollars of damage.
• Zero protection for you and your family. This is perhaps the biggest problem with signing up for the state minimums. You won’t have any funds to get your car fixed or cover your medical bills after an accident.

Protect Yourself

It really doesn’t cost much more to invest in protection that will also cover your own assets. In addition to selecting higher limits for the liability insurance, you may also want to invest in the following optional insurance.

• Comprehensive coverage pays for damage to your own vehicle. Not only does it cover your car in the event you cause an accident, but it also covers you in the event of storms, theft or even damage from wildlife. This coverage is required by creditors who finance vehicles, but it’s also smart for older cars that are paid in full. To determine if it’s worth it for your aging car, consider what it would cost you to go buy a new car in the event of an accident. Unless you have access to that type of money on a moment’s notice, you should consider maintaining this insurance so that you won’t have to go without transportation.
• Uninsured and underinsured motorists are a problem, and you’ll have to work with them through civil court if you don’t have this protection. Comprehensive plans do not cover the damage caused by other drivers. You may have to specifically request this coverage, but it’s worth the investment.
• Medical payments coverage is a great way to ensure that you have the protection you need while traveling. Even if you have medical insurance, you don’t want to pay the high out-of-network fees associated with being treated when you’re traveling to other areas of the state.
• Extras like rental reimbursement and full glass coverage typically only cost a few dollars a month, and they’re great to have.

Determination of Rates

Arizona rates are determined in the same way as other parts of the country. Insurers look at your credit report, personal driving record, information about your car and your location. They’ll also consider your age and gender when determine what rate to charge.

Typically, people who are considered to be a higher risk are charged higher rates. There comes a point when the risk is simply too high, and then insurers will deny the request for coverage.

This typically happens when people are engaging in risky driving behavior, including speeding tickets, running red lights, DUI violations and leaving the scene of an accident. The insurance companies are only allowed to look at the last 40 months of your driving record, so maintaining a clean record will eventually result in lower rates.

Drivers who fall into the high-risk category may wind up turning to the state for coverage. The state has a program that allows high-risk drivers to get minimum coverage so that they can continue driving.

Coverage for the Arizona Automobile Insurance Plan is available through licensed auto insurance agents. The rates for this protection are high, and most drivers will not remain on these plans indefinitely. Ideally, they’ll correct driving behavior, gradually improve their record and transition back to a more traditional insurance plan.

Insurance providers in Arizona are also able to offer discounts based on different criteria. They may give a break to people with multiple cars or policies, and they offer discounts for good drivers. Students may see a drop in rates if they get good grades, and safety features in the car also lead to lower premium levels.

When you’re ready to invest in Arizona car insurance, take the time to do some research and choose the right protection for your needs. State minimum levels are not always enough to cover the damage in an accident.

It’s important to ensure that you have enough coverage in case you make a mistake behind the wheel, and you should also have the right protection for yourself against uninsured drivers.

Take the time to compare plans to find the right one for your needs. Ideally, you want to work with a company that offers you great service, the proper level of protection and rates that you can afford.

Enter your ZIP code into the FREE comparison tool below to start your search!