Should I Get an Auto Insurance Quote Before Buying a New Car?

Buying a new car is exciting and worth celebrating, but it's not a simple transaction. Auto insurance is governed by state laws, and most states—excluding Virginia and New Hampshire—won't allow drivers to leave the dealership without insurance. Whether you're upgrading to a more recent, reliable model or buying a car for a new driver, use these tips to help you time your car insurance purchase so that you can drive your new car off the lot without any unnecessary delays.

Is Car Insurance Required Before Going to the Dealership?

You won't need to request a car insurance quote if you're just browsing inventory, but you'll definitely need to show the dealer proof of insurance before you get to drive the car home. Even if you've bought a vehicle from a private seller, it's illegal in almost every state to drive without car insurance. If you already have a vehicle that is currently covered by an auto policy, most insurers will extend a grace period onto the new car that can range from seven to 30 days.

Know the Applicable State Laws

Since there's no federal standard for car insurance, you'll need to be familiar with how state laws will affect minimum coverage requirements. Minimum coverage typically includes:

• Bodily injury liability
• Property damage liability
• Uninsured/Underinsured motorist bodily injury
• Uninsured/Underinsured motorist property damage
• Personal injury protection (PIP)

The minimum amount of auto insurance coverage required in Oregon is $25,000 per person for bodily injury and a maximum of $50,000 per accident. This minimum coverage will also cover $20,000 in damages to another person's property.

State coverage minimums are usually the cheapest options, and while it may be tempting to save money with lower limits, collisions quickly become expensive as out-of-pocket costs grow. If you're involved in an auto accident and have low auto insurance coverage limits, the injured party can go after your savings accounts, future earnings, and other property to recover compensation for their damages.

Information You'll Need to Start an Auto Insurance Policy

To purchase auto insurance, you'll need to provide your insurance agent with the following:

• Personal contact information
• Driver's license number
• Details about the new vehicle you'd like to purchase, such as the make, model, vehicle identification number (VIN), and mileage

Certain supplemental information can qualify you for discounts, such as a military ID card, proof of good grades, and proof of completion of a safe driving course or defensive driving course.

Insurance Lounge is a no-commission insurance agency that can help you find coverage with leading carrier partners. Shop for insurance your way: online, over the phone, or by visiting any of our storefront locations in Oregon. You can use our online insurance quote tool to receive a free car insurance quote in minutes.