With industry-specific jargon and laws that vary from state to state, understanding car insurance can be a complicated and lengthy process. However, making sense of car insurance in your state can mean getting the protection you need while saving money.
To help you understand some of the lesser-known coverages and unique insurance features in the Bay State, here are a few basic facts you probably didn’t realize about Massachusetts car insurance.
1. Your credit score won’t impact your rate
Since the 1990s, some insurance companies have used special credit-based insurance scores as a factor in determining car insurance rates. Drivers with higher credit scores typically received better premiums.
However, in 2011, the Massachusetts Senate and House of Representatives passed an act banning the use of credit-based rating for private-passenger motor vehicle insurance in Massachusetts.
2. You’re probably covered in a hit and run incident
No one imagines being in a car accident that causes injuries, let alone one where the at-fault driver flees the scene.
Luckily in Massachusetts, Bodily Injury Caused by an Uninsured Auto can help cover injuries when the at-fault party is unidentified. And in Massachusetts, at least $20,000 per person and $40,000 per accident of this coverage is required.
3. You can swap Collision Coverage for Limited Collision
Most drivers are familiar with collision coverage. However, in Massachusetts, drivers can swap collision coverage for limited collision coverage.
What’s the difference? Limited collision has no deductible. For coverage to apply, the insured must be equal to or less than 50% at fault for the accident. Unlike regular collision coverage, it can’t apply in hit-and-run situations.
So before opting for limited collision coverage, it’s best to talk with an independent insurance agent to make sure your policy meets your needs.
4. You can waive your collision coverage deductible if you wish
On the same topic, drivers with regular collision coverage can opt to waive their deductible in Massachusetts. A collision deductible waiver means you won’t have to pay your deductible when certain conditions are met, like when you’re less than 50% at fault for a collision.
Again, before choosing a collision deductible waiver, connect with an independent insurance agent to make sure it’s the right choice for you.
5. You’ll probably need more than basic Bodily Injury Coverage if you leave the state
Most residents in Massachusetts don’t realize that basic bodily injury to others coverage ends at the state line. For accidents that occur anywhere in the U.S. other than Massachusetts, you’ll need Optional Bodily Injury to Others, where limits aren’t locked at $20,000 per person or $40,000 per accident.
This is the minimum amount of coverage required by law, however you should consult with a licensed insurance agent to identify what the right amount of coverage is to protect your unique circumstances.