Auto Insurance In South Carolina: Who's Covered First?

South Carolina has specific requirements for auto insurance that drivers must meet to drive legally. The state requires liability coverage and uninsured motorist coverage with minimum limits. The minimum coverage for bodily injury liability is $25,000 per person and $50,000 per accident. For property damage liability, the minimum coverage is $25,000 per accident. Uninsured motorist bodily injury coverage has a minimum limit of $25,000 per person and $50,000 per accident, while uninsured motorist property damage coverage has a minimum limit of $25,000 with a $200 deductible.

Minimum insurance requirements in South Carolina

In South Carolina, drivers are legally required to carry liability and uninsured motorist coverage. The minimum insurance requirements in South Carolina are as follows:

• Bodily Injury Liability Coverage: $25,000 per person and $50,000 per accident. This type of insurance covers injuries you cause to someone else in an accident.
• Property Damage Liability Coverage: $25,000 per accident. This insurance covers damage you cause to someone else's property while driving, such as damage to their vehicle or other property like buildings or fences.
• Uninsured Motorist Bodily Injury Coverage: $25,000 per person and $50,000 per accident. This coverage protects you and your passengers if you are hit by a driver without insurance.
• Uninsured Motorist Property Damage Coverage: $25,000 with a $200 deductible. This insurance covers damage to your vehicle and other property if an uninsured driver hits you.

While not required by law, comprehensive and collision coverage may be required by your lender if you are leasing or financing a vehicle. Collision coverage pays for physical damage to your car when it collides with another object, while comprehensive coverage insures against damage from other causes like fire, vandalism, flooding, theft, and collisions with animals.

It is important to note that South Carolina has a tort-based insurance system, meaning that the person at fault in an accident is responsible for the other party's property damage and bodily injury losses. Therefore, it is essential to have adequate insurance coverage to protect yourself financially in the event of an accident.

Lender requirements for auto insurance in South Carolina

Firstly, it is important to note that South Carolina law requires drivers to purchase liability and uninsured motorist coverage to drive legally in the state. The minimum coverage requirements are $25,000 for bodily injury liability per person, $50,000 for bodily injury liability per accident, and $25,000 for property damage liability per accident. Uninsured motorist coverage is also mandatory and should be equal to the minimum liability coverage limits.

While collision and comprehensive coverage are not required by South Carolina law, lenders in the state may require borrowers to obtain these coverages to protect their investment. Collision coverage pays for physical damage to the insured's vehicle resulting from a collision with another object, while comprehensive coverage insures against non-collision damages such as theft, vandalism, and natural disasters.

If you lease a car or have an auto loan, your lender will likely mandate that you carry both collision and comprehensive insurance. This ensures that the vehicle can be repaired or replaced in the event of an accident, theft, or other damages not covered by liability insurance.

It is important to note that lenders in South Carolina may have specific requirements for the insurance coverage limits and deductibles. Borrowers should carefully review their loan agreements and consult with their lenders to ensure they comply with all insurance-related requirements.

In addition to the above, there are other optional add-on coverages available in South Carolina, such as medical payments coverage, rental reimbursement coverage, and towing and labor coverage. While not mandatory, these coverages can provide valuable financial protection in the event of an accident or vehicle-related incident.

Average cost of car insurance in South Carolina

The cost of car insurance in South Carolina depends on several factors, including age, gender, marital status, credit rating, driving history, and the level of coverage.

The average cost of car insurance in South Carolina is $1,361 per year, which is 4.6% less than the US average. However, the cost can vary depending on the specific factors mentioned above.

For example, the average cost of car insurance for a 16-year-old driver in South Carolina is $6,372 per year, while for a driver in their 50s, it is only $1,246 per year. The cost of car insurance for males is also generally higher than for females.

In terms of coverage, the state of South Carolina requires drivers to purchase liability and uninsured motorist coverage. Liability coverage includes bodily injury liability and property damage liability, with minimum requirements of $25,000 per person for bodily injury and $50,000 per accident for bodily injury and property damage. Uninsured motorist coverage, which protects the policyholder in case they are injured or their property is damaged by an uninsured driver, is also required to be carried at the same minimum amounts as liability coverage.

In addition to the basic liability and uninsured motorist coverage, drivers in South Carolina may also opt for comprehensive and collision coverage, which covers damage to the insured's own vehicle. These coverages are optional but may be required by a lender if the car is leased or financed.

The average cost of a full coverage car insurance policy in South Carolina, which includes liability, uninsured motorist, comprehensive, and collision coverage, is around $1,720 per year. The average cost of a state minimum coverage policy, which only includes the required liability and uninsured motorist coverage, is around $871 per year.

It is important to note that these averages may not include additional factors such as age, gender, and driving history, which can significantly impact the cost of car insurance.

Discount opportunities for South Carolina auto insurance

South Carolina auto insurance offers a variety of discount opportunities for motorists. While each provider is unique in the exact discounts that they offer, here is a breakdown of the most common types of car insurance discounts:

• Multi-policy: Bundling two or more insurance policies with the same company.
• Multi-vehicle: Combining auto insurance policies or insuring multiple cars under the same policy.
• Military: Applies whether you’re an active military member or veteran.
• Senior: Senior motorists who are over 55 tend to be eligible.
• Homeowners: If you own a home, you may qualify for this discount.
• Good student: Usually for students in college or high school who maintain a B average in their courses.
• Good driver: Applies to drivers with a clean driving record, meaning no at-fault accidents, DUIs, or speeding tickets in the last three years.
• Defensive driving: Take a defensive driving course to qualify for this discount.
• Driver training: Get a discount by taking a driver education course.
• New car: Drivers who purchase a new car — typically three model years or newer — will qualify.
• Safe car: For cars that have safety features such as anti-theft technology.
• Paperless: Go paperless for billing and paperwork to earn this discount.
• Pay-in-full: Pay your full insurance policy upfront to qualify.
• Progressive: Offers a range of car insurance discounts, including good student, homeowner and multi-policy discounts.
• State Farm: Offers a variety of great discounts, including for good students, vehicle safety, and driver training.
• Travelers: Offers a broad selection of discounts, like new car, paid in full, early quote, safe driver, continuous insurance, and more.
• Geico: Offers some of the lowest average rates and numerous discounts for further potential savings, including for insuring multiple vehicles, customer loyalty, good students, and federal employees.

How to get cheap car insurance for teens in South Carolina

Auto insurance is a requirement in South Carolina, and teens tend to pay more for car insurance than older adults. Here are some ways to get cheap car insurance for teens in the state:

• Share a policy with parents: Teen drivers can save a lot of money by sharing a policy with their parents instead of buying a separate insurance policy.
• Ask about discounts: Many insurance companies offer discounts for young drivers, such as installing anti-theft devices, getting good grades, and maintaining an accident-free record.
• Compare rates: Shop around and compare rates from multiple insurance companies, both large and small, to find the best price.
• Consider the type of coverage: Minimum coverage insurance is the cheapest option, but it may not provide enough protection in the event of an accident. Full coverage insurance costs more but offers more comprehensive protection.
• Choose a higher deductible: Opting for a higher deductible can lower your insurance premium, but make sure you can afford to pay the deductible in case of an accident.
• Select a car carefully: Certain vehicles may be more expensive to insure due to a higher risk of theft or damage. When choosing a car, consider the insurance costs to ensure it fits within your budget.
• Consider usage-based insurance: Look into telematics programs that monitor your driving habits. Safe drivers and those who don't drive often may be eligible for discounts on their insurance premiums.
• Maintain a clean driving record: Accidents and traffic violations can increase insurance rates. Encouraging teens to drive safely and follow the rules can help keep their insurance premiums low.
• Review insurance options specifically for teens: Some insurance companies offer more affordable rates for young drivers. For example, Farm Bureau has discounts for students with good grades and those who take safe driving courses.

Frequently asked questions