Covering the Basics of Car Insurance for Teachers

 

Car insurance is an important financial tool that helps to protect your health and assets. Accidents can happen, even for a particularly responsible group like teachers. Since you’re required to have auto insurance if you own or lease a car, why not get it from a company that’s just for teachers?

If you work for or are retired from a school district, diocese, or a higher education institution, you may be eligible for Teachers’ Insurance Plan of NJ — car insurance that’s designed specifically for members of New Jersey’s educational community.

As a teacher, we understand that you probably do your homework before making a purchase. So, we thought we’d help you out by covering the basics of car insurance for teachers, from insurance terms to coverages.

Premium — The amount you pay to your insurance company in exchange for coverage. Insurance companies calculate your premium based on many factors, including your driving history, your cars, and the coverages and limits you choose. You can take advantage of discounts to lower your premium.

Deductible — The amount you agree to pay out of pocket before your coverage begins. Generally, a higher deductible means a lower premium, but higher out-of-pocket expense if you have an accident.

Limits — The maximum amount an insurance company will pay for a covered loss (less any applicable deductible). Though you can choose your limits, some states require you to buy certain minimum levels of car insurance coverage.

Collision Insurance — This pays for the repair or replacement of your car if it is damaged in an accident, no matter who is at fault. However, if your car is totaled, you will be reimbursed only for the actual cash value of your car. This coverage is typically optional unless required by a finance or lease company.

Comprehensive Insurance — This pays for damage to your car that isn't related to a collision. However, if your car is totaled, you will be reimbursed only for the actual cash value of your car. Like collision, this coverage is typically optional unless required by a finance or lease company.

Liability Insurance — This coverage is required in most states, and may pay — up to your limits — for damages if you're held responsible for injuries or property damage arising from a car accident. There are two main types of liability coverage: bodily injury and property damage.

We hope this insurance primer will help you when you get your free online car insurance quote from Teachers’ Insurance or you can also speak with a Teachers’ Insurance adviser by calling 844-232-2728.