Auto Liability Insurance - Are you Paying Too Much, for Too Little?
Are you paying too much for your auto liability insurance coverage and getting inadequate protection? How much liability coverage is enough and how can drivers cut costs? Of course it's always important to look at your auto insurance policy as a whole and not in terms of single coverage but liability insurance is a must-have coverage. So here is some advice on saving money and making sure you are protected.
Your auto liability insurance coverage is the most critical of all your insurance packages. This is because it will protect you from damages you cause in an accident. If you are in a accident and don't have enough liability coverage you may have to pay huge sums in damages or even fall prey to a costly lawsuit.
The majority of U.S. states require by law that drivers carry auto liability insurance in the region of 50/100/25. That means that if you are in an accident up to $50,000 coverage is available for any single person injured by you and up to $100,000 for everyone else that is injured. This really isn't that much when you think of medical/funeral expenses and other damages that may need to be paid for. The bodily injury liability aspect of your auto liability insurance is critical.
The average auto liability policy is 100/300 - '300' is $300,000 in total bodily injury liability. It is usually recommend that you have $300,000-$500,000 worth of personal injury liability, preferably more. In an accident you will be glad that your auto liability insurance was adequate and flexible due to the limits you have set.
Bodily injuries are almost always more expensive than property damages in an accident but don't neglect to cover yourself for damage to property under your auto liability insurance policy. The $25 000 worth of property damage in an average policy is probably enough but if you wan't to make 100% sure you have enough and can afford it - buy more!
