To give you an idea of how much state minimum coverage costs, here are average annual rates for the cheapest car insurance coverage in every state cheapest car insurance after accident. If you already have a poor credit history, try to improve it before you shop for a new policy when does auto insurance take effect
. Here’s why: Drivers with good credit ratings are favored by insurers because they file fewer claims and tend to pay their bills promptly, studies show. In turn, insurance companies are likely to give the best rates to those with clean credit and good credit-based insurance scores. Your score is based on your payment history, outstanding debt, credit history length, pursuit of new credit and mix of credit.