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Minimum/Low Limits on Personal Auto Policy

Too many times we hear customers & potential customers tell us “I only need minimum limits, this car is a piece of junk” or “I only drive it to work a few minutes away, I just want to be legal”.  What people don’t realize is that you can do just as much damage with an ’87 Chevy as you can with a brand new Range Rover and you can get in an accident 2 miles from your home just as easy as you could if you were 100 miles away.  If you don’t want to get “full coverage” on your old hunk of junk, that’s fine BUT don’t get cheap on the bodily injury & property damage limits.  That’s the coverage that is going to be most valuable to you and that’s where you should have the highest limits you can afford.

 

You can do as much damage with this:

Chevy

 

As you can with this:

 

Range Rover

 

Another important coverage that often gets overlooked by customers is uninsured/underinsured motorists coverage.  This coverage protects you against drivers who don’t have any insurance or who have minimum/low limits.  You don’t want to skimp on this coverage either.  If you are hit by someone, would you want them to have the state minimum limits or would you want them to have the highest limits available?  If you are simply going with the cheapest option, you’ll likely have next to no coverage here and if one of those uninsured drivers hits you, you could be without coverage (over 10% of drivers have no insurance, even more have low/inadequate limits).  Think about what coverage you’d like that person who hits you/your car to have and that’s what you should be basing your decision on, not what the cheapest option is or who has the best commercial….even though some of them are pretty funny. Price is certainly a factor when making a decision on what insurance company to go with but it should not be the only factor or the most important factor.  Look at it like buying a pair of gloves or a pair of shoes – would you buy a pair of gloves with only 4 fingers on each hand?  Would you buy a pair of shoes with holes in them just because they’re cheap?  Probably not because then they won’t do what you bought them to do.  You are buying insurance to protect yourself and your assets.  Don’t just look for the cheapest policy and don’t try to do it on your own.  Call an agent and get some advice.  Many times you can end up saving money and getting better coverage but focus on the coverage first & foremost.  Even if you spend a little more than you think you should, you’ll be glad you did if/when you have a claim.

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