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How does paying for car insurance work?

I'm buying my first car, and the dealership said I need insurance to take it home. I've never had insurance before, but I have a strict budget. How does paying for insurance work?

avatar
Emily Maracle · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
Buying your first car is a huge milestone, so congratulations! Most
car insurance
policies are broken up into monthly payments or paid in full.
There are also several options for how to pay for your policy. They include:
  • Autopay
  • Pay by mail
  • Credit card or debit card
  • Bank account
Before you start paying for a new insurance policy, you’ll want to make sure that you’re getting the best possible rate on the coverage you need. The
Jerry
app can help you by pulling insurance quotes from over 50 top providers in under a minute for free. When you find the best deal, Jerry can also take care of all the paperwork and phone calls to get you signed up.
Jerry’s friendly agents are available by call or text if you have any questions as well!
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Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.

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