Reader’s Question:

I plan to buy my own car, but I am told to get car ins first. Since the car itself will cost me, is there a way for me to get free car ins?

Gatsby

Birmingham, AL

All the States in the Union require some form of liability car ins before they allow you to drive a car. Liability insurance is a form of obligation and proof that you, as driver and car owner, would be able to pay in case you or your car is involved in an accident. The liability insurance requirements for Alabama are bodily injury and property damage liability with a 20/40/10 limit. The numbers mean that when your insurance pays for body injury there is a maximum of $20,000 per person or up to $40, 000 for all injuries. There is also a $10,000 limit for property damage for the same accident. You are advised to extend your insurance coverage to protect yourself also.

I know it is very appealing to have free car ins. However, no such thing exists. Some car manufacturers are considering the matter. But to get the idea off the ground would require tremendous amount of resources. For example, would free car ins mean car manufacturers choose customers who could buy their cars? Would that entail more flexible car ins and a more stringent process of buying cars? The most car manufacturers can offer is to give you free benefits such as free gas, extended warranty for parts and repairs, or discounts when you pay it in full.