Best Car Insurance in Arkansas

Insurance companies in Arkansas have 45 working days to settle a claim after it is filed. Arkansas insurance companies also have specific timeframes in which they must acknowledge the claim and then decide whether or not to accept it, before paying out the final settlement.

Insurance Claim Timeline in Arkansas

• 15 working days to acknowledge the claim and send the policyholder instructions and paperwork. This includes proof-of-loss forms, which serve as a sworn statement from the policyholder about the scope of the damage or injuries.
• 15 working days to make a decision on the claim after receiving completed proof-of-loss forms.
• 10 working days to make the final payment if the claim is approved.

There are several factors that can affect exactly how long it takes for an insurance company to settle a claim. For example, claims involving serious or multiple injuries take longer to settle. Additionally, poor communication between the driver, insurance company, and insurance adjuster can slow down the process.

Still, you are entitled to an efficient settlement. If you think that your insurance company is violating the law or operating unethically, you can file a “bad faith” lawsuit, which may award you the original settlement amount with added interest and penalties.

You can get car insurance discounts in Arkansas based on how you drive, the car you own, and your relationship with your insurance company. In Arkansas, car insurance companies are allowed to consider factors like employment, residential, and marital status when setting premiums. That means there are also discounts available for being married, owning a home, or being affiliated with certain employers or educational institutions.

Almost anyone can get a discount on car insurance in Arkansas because most insurance companies make it easy to qualify for a variety of savings. Arkansas insurers typically offer discounts that fall into one of three categories—policy discounts, driver discounts, and vehicle discounts.

Policy discounts typically reward customer behavior that is desirable to the insurance company. For example, most Arkansas drivers can save by registering for paperless billing or getting both home and auto policies from the same company. Driver discounts are available to Arkansas residents who are lower-risk to insure, like those with clean driving records. And vehicle discounts help drivers save if their car has certain safety features or anti-theft systems.

Car Insurance Discounts in Arkansas

Remember, discounts vary among different insurance companies, so it's always best to contact the provider directly to determine which discounts you qualify for.

Full coverage insurance in Arkansas is usually defined as a policy that provides more than the state's minimum liability coverage, which is $25,000 in bodily injury coverage per person, up to $50,000 per accident, and $25,000 in property damage coverage. Full coverage in Arkansas also includes optional collision and comprehensive insurance. As a result, full coverage insurance costs an average of $1,563 per year in Arkansas, while a state minimum policy costs $558.

If you can't afford to repair or replace your car after an accident, collision and comprehensive are important coverage types—even if they're not required. Collision insurance covers repair or replacement costs if you are in an accident, drive into an object, or flip your car. Comprehensive insurance covers repair or replacement costs if your car is damaged by falling objects, natural disasters, floods, fires, theft, vandalism, or animals. Full coverage insurance costs an average of $1,563 per year in Arkansas, while a state minimum policy costs $558. Lenders usually require collision and comprehensive in addition to the insurance you must have under Arkansas law when you finance a car.

Most people should also choose higher liability coverage limits than what is required by Arkansas law. If you cause an accident and your liability limits don't cover the whole bill, you are still personally responsible for the rest. In the end, “full coverage” means having the right amount of coverage to protect your assets in a worst-case scenario.

Arkansas is an at-fault state, which means that the at-fault driver is responsible for paying for everyone injured in the accident. There are no restrictions on the right to sue after an accident in at-fault states, even if the insured buys personal injury protection (PIP).

Drivers in Arkansas are required to carry at least $25,000 in bodily injury liability insurance per person, up to $50,000 per accident, and $25,000 in property damage liability insurance. When an insured driver is responsible for an accident, liability insurance covers the other driver's expenses.

On average, state minimum coverage costs $558 per year in Arkansas, but there are many factors that can affect how much you pay for a policy. Any coverage above and beyond what is required by Arkansas law is optional, but it's usually worth the money to get some additional protection. The biggest reason is that state minimum coverage doesn't protect your personal vehicle. For insurance to pay for damage to your car, you'll need full coverage.

In Arkansas, full coverage refers to a policy that includes collision and comprehensive, plus higher coverage limits than what is required by state law. Full coverage car insurance costs about $1,563 per year in Arkansas. There may be cases when you don't need full coverage insurance, but Arkansas drivers should buy as much coverage as they can afford as a general rule.

Most policies offer coverage for six months to one year at a time and can be paid in a variety of ways, including monthly payments. The best car insurance companies in Arkansas balance affordability with quality coverage and strong customer service. You can easily get a quote from top companies like Allstate, Geico, Travelers, Shelter, Auto-Owners Insurance, and Farm Bureau Mutual online or over the phone, or use WalletHub's comparison tools to find the best car insurance policy for your needs.

No, personal injury protection (PIP) is not required in Arkansas – it's optional. By default, all Arkansas car insurance policies include at least $5,000 in PIP coverage. But if you don't want the coverage, you don't have to carry it (or get any replacement coverage for medical expenses). You just need to notify your insurance company in writing that you would like to decline PIP coverage.

Arkansas drivers who want to cancel their PIP coverage should first check to see if their insurance company has any specific requirements for cancellation (for example, a timeline to follow). Otherwise, all you need to do is send a letter indicating that you were offered the PIP coverage but want to decline it. Include your name, your policy number, and the dates of your policy. Then sign the letter and mail it to your insurance company (ask customer service for the proper mailing address).

Even though PIP insurance isn't required, it's still a wise decision to buy some if you can afford it. In Arkansas, an average of 16.6% of drivers on the road don't have car insurance. That means you have a 1 in 6 chance that the other driver won't have insurance if you get into an accident. Car accidents can be extremely expensive, with fatal accidents in Arkansas alone costing $683 million each year. That makes PIP coverage a good investment.

Arkansas Car Insurance at a Glance: PIP & More

Arkansas drivers pay an average of $1,107 per year. Car insurance in Arkansas is fairly average, due to its middle-of-the-road rankings for traffic safety across the state.