What is the Best Car Insurance for First-Time Buyers?

car insurance for first time buyers

Buying your first car is exciting. The freedom you get from being able to drive where you want to go is a great privilege. However, with that new car comes an auto insurance policy. It’s important to have the proper coverage for your new set of wheels.

Choosing the Best Car Insurance for First-Time Buyers

Nearly all states require a car owner to have a minimum amount of coverage. So, as a new car owner, what types of coverage do you need?


There are basically two types of liability coverage:

  • Property Damage Coverage: This coverage protects you from any property damage of another person during a car accident you caused
  • Bodily Injury Coverage: This coverage protects if another person suffers an injury during an auto accident you caused

As you can see, liability insurance is pretty important to have.

MedPay or PIP

Medical payments (MedPay) or personal injury protection cover any accident-related medical bills. It doesn’t matter if you caused the crash or not.

Uninsured or Underinsured Motorist

This coverage covers your medical treatment if an uninsured driver hits you. Underinsured motorist coverage covers your medical treatment if the driver who hit you isn’t covered with enough liability insurance to pay your medical expenses.

Collision and Comprehensive

You are probably asking yourself: “do I need collision insurance?” These two types of insurance are optional. Collision covers any car repairs resulting from an accident. If your car is totaled, it will reimburse you for your car’s market value. Comprehensive insurance covers damage to your car for causes other than an accident (vandalism, natural disaster or collision with an animal) or if it’s stolen.

You can also add on extras like rental reimbursement coverage if your car’s in the shop because of a claim and roadside assistance coverage.

The best car insurance for first-time buyers is not that hard to find. In fact, a lot of large car insurance companies understand that first-time drivers struggle to afford keeping the car on the road and offer discounts for completing a driver’s education class. They even offer the ‘good student’ discount for good grades in school. Both discounts help to lower premiums of your car insurance policy. These discounts will help you find the best car insurance rates for your situation.

You may be tempted to ask your independent insurance agent for the cheapest policy. However, cheaper isn’t always better. If you were to injure someone or total your car in a car crash, paying a little more each month for a few extra dollars may be worthwhile. Your best bet is to compare auto insurance quotes and coverage to complete our multiple car insurance quotes comparison form.