Making Sure You Have Enough Automobile Insurance

When people are buying auto insurance, many times they choose their coverage based on the amount of money they can save.  While saving money is always a consideration, you must also make sure that you adequately protect yourself and your family members.

The most common example of this is when people are choosing between the full tort option and the limited tort option.  When you purchase insurance, your agent has to provide you with the choice between these two options.  The full tort option costs more money, but it gives you the unrestricted right to make a claim for pain and suffering.  While the limited tort option saves you money, it eliminates your right to make a claim for pain and suffering in many cases.  Electing the limited tort option also prevents you from making an Uninsured or Underinsured Motorist Claim in most situations.

Another area where we see clients choose to save money instead of protect themselves is in the selection of Uninsured and Underinsured Motorists coverage.  These coverages are relatively inexpensive, but they provide valuable benefits.  Uninsured Motorist coverage is a coverage you buy to protect yourself and your family when you are injured by someone whose car is uninsured.  In that type of case, your own insurance company will provide insurance coverage for you.  Underinsured Motorist coverage will protect you when you are injured by someone who has insurance, but does not have enough insurance coverage to adequately compensate you.  In that type of case, your own insurance company will provide additional insurance coverage over and above what the wrongdoer has.  The purchase of Uninsured or Underinsured Motorist coverage is critical, as many drivers who cause crashes have either no insurance or minimal liability insurance.

There are many other situations where people can unknowingly restrict their rights to compensation in an effort to save a couple of dollars.  These include choosing “non-stacked” Uninsured or Underinsured Motorist coverage, choosing inadequate medical or wage loss coverage, or not buying collision coverage.

When buying auto insurance, it is important that you educate yourself about the type of coverage that you are buying, and the long term benefits of having adequate insurance versus saving a few dollars.   If you have been injured in an automobile accident, and need help figuring out the amount of coverage that applies to your claim, you can contact one of our personal injury attorneys for a free consultation.