Determining How Much Auto Insurance Coverage You NeedBy Matt McWilliams
The Three Basic parts to an Auto insurance Policy
1: Other Party:
Auto Insurance Bodily Injury (BI) Liability and Property Damage (PD) coverage is Legally required in most states today. (BI & PD) Most people understand that they need BI & PD, but they have no idea how to determine how much coverage they need.
Try this simple question: What if your car was involved in an auto accident tonight where heaven forbid, someone else was injured or killed? Remember, everything you own is in the back seat of the car with you and is at risk in a lawsuit! So, what do you think their family would sue you for? $15,000? $25,000? $100,000 or even maybe a Million dollars! Where would you get the money to pay them?
Perhaps the Equity in your Home would help? How about your Savings and/or Investments? You could even have up to 25% of your wages attached to pay the award in most states! Are you prepared to sacrifice everything you own to pay an award due to this accident? If not, read on for how to choose the auto insurance coverage you need.
2: You and Your Family:
Now let’s turn the above accident around. For some unfortunate reason, you or a loved one is the one who is injured or killed in an auto accident. Where would you get the money if the person who hit you did not have auto insurance or not enough auto insurance? Medical bills can be covered if you have health insurance. But health insurance doesn’t cover loss of life, pain & suffering or permanent disability.
Maybe you have a life insurance policy through your employer or your own individual life policy. Is the benefit amount sufficient to cover your family if your loved one is killed? But even if you have life insurance, what pays for the misery, the pain & suffering, maybe the fact you or a loved one can’t walk or use their arms again?
You might have a disability insurance policy through your work if you’re lucky or had good financial advice. But disability insurance doesn’t pay for loss of life, pain & suffering, permanent loss of your legs, arm or hand.
The only coverage that pays for these things is a part of an auto insurance policy known as Un/Under-insured motorist coverage. You can only buy as much coverage here as you have in Liability coverage. Your auto insurance agent should be able to help you determine the exact amount you need.
3: Your Car
Comprehensive and Collision Coverage are the third part of an auto insurance policy and are sometimes referred to as “Full coverage.” Basically the difference is this: If you run into the tree you are covered by Collision coverage. If the tree runs into you (hypothetically of course), then you are covered by comprehensive coverage. Comprehensive also covers broken windshields, fire, theft and vandalism. The higher deductible (risk) you take here, the lower the premium. Use the savings here to purchase higher limits in the coverages that protect your assets and your family.
The bottom line to determining proper auto insurance coverage is, of course, the money available in your household budget. An excellent place to start in determining the proper auto insurance coverage for your family is to meet with your local auto insurance agent.
Most cut-rate companies concern themselves with one thing only: Price. Tell them what coverage you have and they’ll see if they can give you the same coverage for less. You become the insurance professional. If this is the only need you have then that is ok. If not, you need to seek the advice of a professional to help you determine the proper amount of coverage you need and how best to accomplish it.
Review these tips for auto insurance coverage to make sure you have enough to protect your family.
|
Auto Insurance Quotes For High Risk Drivers Now Available At Insurance Panda
The Article Helps High Risk Drivers Understand How Insurance Companies Decide how to Insure Vehicles and the Best Way to Obtain Auto Coverage New York, NY / ACCESSWIRE / September 3, 2014 / InsurancePanda.com, ...
When you lend your car, think about the insurance
Do you lend your car to friends, family, or even strangers who hook up with you through a car-sharing smart phone app? If you do, remember that you're also often lending those other drivers your ...
A DUI in Washington state will cost you plenty
Website estimates cost of drunk driving in dollars and cents; DUI on MI is 17th costliest in state.
Personal Injury Lawyer Jennifer Gore-Cuthbert, a Guest on Business Radio X's "Atlanta Legal Experts" Show
Jennifer Gore-Cuthbert with The Gore Law Firm, appeared on "Atlanta Legal Experts" to discuss car accidents, diminished value claims, and insurance coverages. (PRWeb September 03, 2014) Read the full story at http://www.prweb.com/releases/2014/09/prweb12135662.htm
Federal Way fourth most expensive city in state for DUI conviction
The cost of a DUI conviction in Federal Way is the fourth most expensive in the state, according to a recent study.
Cops suing Wilmette man after DUI crash in Lake View
A north suburban man who was cited for DUI after his vehicle rear-ended a Chicago Police squad car in the Lake View neighborhood is being sued by the officers, according to a lawsuit filed Wednesday in the U.S. Circuit Court.
Le'Veon Bell charged with DUI; LeGarrette Blount just pot possession
LeGarrette Blount is expected to be a nice backup to Le'Veon Bell while also providing insurance to the Steelers in the event Bell is injured again in 2014. According to Mike Florio of Pro Football Talk, Le'Veon Bell and LeGarrette Blount have been charged with marijuana possession, while Bell is also getting charged with a DUI. Ross Township Police detective Brian Kohlhepp informed PFT that ...
California DUI suspect pleads not guilty in deaths
TURLOCK, Calif. (AP) ? Prosecutors say a California man had a blood-alcohol level over twice the legal limit when he hit and killed three members of a family with his car.
Street Beat
Checkpoint Nabs Nearly a Score of Scofflaws By Donna Furey | LB Indy Over 1,500 vehicles were screened and three suspected drunk drivers arrested last Friday, Aug. 22, during a DUI checkpoint by Laguna Beach police near Irvine Cove. In all 17 citations were issued including four for unlicensed vehicles or motorists during the 9 [?] The post Street Beat appeared first on Laguna Beach Independent ...
DUI suspect arrested after crashing into CHP motorcycle officer
An unlicensed driver has been arrested in a hit-and-run crash that injured a California Highway Patrol motorcycle officer after a soccer match at Levi's Stadium in Santa Clara, auhtorities said. Gerardo Gonzalez Corona, 30, of Hayward, was booked into the Santa Clara County Main Jail on suspicion of driving under the influence causing injury, being in a hit-and-run collision that caused an ...
|