What could happen to me if I get in an accident and only have minimum coverage?

Some car insurance commercials seem to be everywhere, touting state minimum coverage for less money. The idea is that rates are cheaper with basic coverage than with enhanced car insurance. If you’re looking to cut costs, don’t be tempted to buy a bare minimum plan.

Some car insurance commercials seem to be everywhere, touting state minimum coverage for less money. The idea is that rates are cheaper with basic coverage than with enhanced car insurance. If you’re looking to cut costs, don’t be tempted to buy a bare minimum plan.

Moderate-to-severe auto accidents can easily reach costs of $100,000 or more, depending on the number of vehicles involved, number of people injured and the severity of those injuries This far surpasses policies with limits of 25/50/10 minimum coverage.

If you are involved in an accident that injures another party, and if the damages in the accident exceeds an amount greater than your policy limits, you would be held legally responsible to pay for any damages that your insurance does not cover – including medical costs, costs to repair any property damage and legal costs for any court proceedings that may take place because of the accident.

As the at-fault party, you may have to pay to defend yourself, and you also could be forced to liquidate your assets, including your home, cars and some bank accounts to satisfy the debt. In addition, your present and future wages could be garnished.

You and your family could end up paying for one accident for the rest of your life!

However, if you need to lower your rates, start by asking your insurance agent to change your deductible instead of reducing your coverage. To save money on your premium, take the highest deductible you can afford.

To find other ways to save, contact an insurance professional to help you find the right amount of coverage at a rate you can afford.

At The Agent Insurance Services, we can look at your overall financial picture and help you choose the types of insurance that are best for your situation. (330) 758-3339

Leave a Comment

Your email address will not be published.

Scroll to Top