Shopping for the best Minnesota car insurance rates is a smart move. You could save hundreds of dollars each year just by checking with a few different insurers. Before you get started, there are a few important aspects of buying auto insurance in Minnesota that you should know.
Minnesota has strict laws about the types and amounts of auto insurance resident drivers must have before they can register their vehicle. Even so, purchasing only the minimum amount of insurance could set you up for a financial disaster if you are in a car accident.
Find an independent insurance agent in Edina to learn more about Minnesota's laws and to get help choosing the right types and amounts of insurance without blowing your budget.
How Much Does Car Insurance Cost in Edina, MN?
On average, Minnesota drivers pay less for auto insurance than drivers across the nation.
- National average annual car insurance cost: $1,311
- Minnesota average annual car insurance cost: $787
Your rates may not be the same as Minnesota's average auto premiums. Many areas of Minnesota are rural, and auto insurance is typically lower in less populated areas. Drivers in the twin cities should expect to pay higher-than-average rates. Seventy-five percent of Minnesota's population lives in metro areas. As an Edina resident, your rates may be much lower than city drivers.
How Can I Get Cheaper Car Insurance in MN?
The auto insurance quotes you get may not fall in line with the average in Minnesota. Your rates may be based on your driving record, your credit score, whether you own your home, your age, your occupation, your marital status, your gender, and the type of vehicle you drive.
If you decide to increase your deductible, you could save money on your auto insurance premiums. Before you agree to a high deductible, make sure you have easy access to that amount of cash so you can afford to get your car fixed if you are in an accident.
You could also get a discount on your auto insurance rates if you bundle your car insurance with your home insurance or a renters insurance policy.
There are many ways to get a lower insurance rate, and some of them are a simple matter of understanding which insurance companies are most likely to offer you the best rate. You can get low rates from well-known heavily marketed companies online, but you may have problems making a claim or getting one-on-one support from an agent.
An independent agent will ask you questions to help discover how you may qualify for various auto insurance discounts. They can match you with a trusted insurance company that's a great fit for your situation.
What Kind of Car Insurance Should I Buy in Minnesota?
In Minnesota, you must carry liability, personal injury protection, and uninsured/underinsured motorist insurance. Each of these policies protect you financially after a car accident.
Your lender may require you to carry "full coverage" insurance that includes collision and comprehensive coverage, in addition to the state-mandated coverage.
It's not easy to meet the requirements of several different entities, but your agent can walk you through the requirements and recommend any additional coverage that would be to your benefit.
- Liability insurance (Required): This covers other people’s injuries and damage if you cause an accident. Your policy must include:
- Bodily injury liability coverage of at least $30,000 per person and $60,000 per accident. However, it's important to know that the average bodily injury liability insurance claim after a covered accident is $22,948. If you are at fault in a car accident, you are responsible for the other person's medical bills, which could easily exceed $30,000.
- Property damage liability coverage of at least $10,000 per accident.
- Personal injury protection (PIP) (Required): This pays for medical expenses for you and your passengers if you are injured in a collision, no matter who caused the accident. In Minnesota, the average personal injury protection claim after a covered loss is $8,843.
- Uninsured motorist insurance (Required): This pays for injuries and medical costs if you are in a collision with an uninsured, underinsured, or hit-and-run driver. The average bodily injury claim after an accident with an uninsured or uninsured motorist in Minnesota is $44,585.
- Collision insurance (Partially optional): This pays to repair or replace your vehicle if it is damaged in a collision, regardless of fault.
- Comprehensive insurance (Partially optional): This pays to repair or replace your vehicle if it is lost or damaged in an incident other than a car accident, such as a fire, collision with an animal, or damage due to storms of falling objects. There are about 330,000 comprehensive insurance claims in Minnesota each year.
- Roadside assistance and towing (Optional): This pays for necessary assistance if you get a flat tire or run out of gas.
- Rental reimbursement coverage (Optional): This pays for the cost of renting a replacement vehicle while repairs are being made to your car after a covered event.
Your agent can talk with you about how much coverage you can afford. They'll discuss your options while keeping Minnesota's laws about insurance in mind.
What Is the Penalty for Driving without Insurance in Edina?
Driving without insurance is illegal in Minnesota. If caught, uninsured drivers can face the following:
- Up to 90 days in jail
- Suspension of drivers license
- Fines up to $1,000
Even though there are stiff penalties for driving without insurance in Minnesota, there are plenty of people who get behind the wheel without first purchasing the minimum amount of required liability coverage. Luckily, there are fewer uninsured drivers on Minnesota roads than the national average.
- Percentage of US drivers who are uninsured: 13%
- Percentage of Minnesota drivers who are uninsured: 11.5%
There are a relatively low number of Minnesota drivers taking their chances behind the wheel without insurance, but getting into an accident with someone who is underinsured or uninsured can be a nightmare. You may have to take them to court to make them legally responsible to pay for your medical bills and property damage. Even then, having a low income or no money in the bank can make them "judgment proof," which means you'll never get the money you are owed.
Uninsured and underinsured motorist coverage allows you to let your insurance company take care of your property damage and medical bills after a covered accident, even if it wasn't your fault. They can then handle the messy and expensive business of pursuing payment from the other driver.
How High Is the Auto Theft Rate in Edina?
The auto theft rate in Minnesota is lower than the national average.
- National auto theft rate per 1,000 vehicles: 2.37%
- Minnesota auto theft rate per 1,000 vehicles: 1.58%
If your car is stolen, you aren't insured unless you have comprehensive coverage. The risk is low in Edina, but if it happens, you'll be glad to have help from your insurance company. Auto theft is rare, so you probably won't know what to do if it happens to you. Independent insurance agents are there for their clients even after they issue a policy, offering the ongoing support and guidance you need during this type of stressful event.
Why Work with an Independent Insurance Agent in Edina, MN?
Understanding how car insurance works, choosing the right coverage amounts to protect your financial stability, and picking a company that will be there for you when you need them is no easy feat. When you work with an independent agent, you'll get the personalized support you need to make the right decisions about your coverage.
Your agent can suggest ways to save money on your auto insurance premiums without sacrificing coverage. They can even help you make sure you are in compliance with Minnesota laws and your lender's requirements.
While it's easy to let a search bot on the internet find quotes for you, working with an independent agent means you have someone to talk with when it's time to make a claim. They can focus on your needs and give you the one-on-one support you need should you ever need to use your policy.
Contact an insurance agent today and start designing your ideal auto insurance policy.
TrustedChoice.com Article | Reviewed by Jeffrey Green
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