Why the Minimum
When states pass laws mandating that every driver carry Automobile insurance they need to consider a number of factors, but affordability is often near the top of the list. If the state legislature is going to force people to purchase a product or service they need to make sure that product or service will be affordable. For this reason many states set the bar very low for Auto insurance coverage. This low bar makes policies more affordable, but it also leaves many drivers without the protection they really need.
For that reason it is important to look at your own state’s minimum coverage levels and determine if those levels really provide adequate coverage. If for instance your state requires that you carry only $10,000 in Property Damage insurance, what happens if you total your neighbor’s brand new Porsche 911? If you do not have enough Property Damage insurance in place you could be on the hook for the rest of the damages. The same is true of personal injury. It’s important to take a realistic look at the minimum coverage levels set by your state and determine whether or not they truly are adequate for your needs. The more you have to protect, the more insurance coverage you will need.
The Low Cost of Upgrading
Many drivers assume that upgrading an existing Auto insurance policy from the state mandated minimum coverage levels to something more realistic will be prohibitively expensive, but that is not necessarily the case. In many cases drivers can upgrade from the minimum set by their state to $300,000 worth of coverage or more for only a small increase in their premium levels. Upgrading coverage can be extremely affordable for those considered to be good risks, but even those with a few black marks on their driving records are often surprised at just how affordable that extra coverage can be.
Reviewing your Auto insurance coverage with one of our agents on a regular basis is the best way to make sure you are providing adequate protection for your car, your family, and your personal property. By knowing the legally required coverage levels and adjusting those levels to suit your own needs you can save money on your premium without sacrificing the protection you need.
A high percentage of accidents and deaths behind the wheel take place on the nation's freeways, for obvious reasons. To reduce your chances of becoming a victim or harming others on the freeway, we'd recommend taking these precautions: