Auto Insurance Coverage - How much coverage should I buy?
Question:
-minimum MD state 20/40/15 for Bodily Injury, Uninsured Motorist, and property damage
-PIP $2500
-250/500 for Comprehensive/Collision, had road service, towing, and rental.
I don't have many assets. I'm a renter and I live from paycheck to paycheck. I have no accidents, no tickets, and no violations for the last 8 years. I'm a cautious driver. I drive a 2003 Honda Civic.
The new insurance company is offering me $759/year for the limits 100/300/100 Bodily Injury Liability and matching for Uninsured Motorist + Property Damage, 250/500 for Comp/Coll, road service, towing, and rentals, PIP 2500.
I've seen different answers that say 100/300/100 would be better for those who own a house and have a better income.
What do you think is a recommended coverage going?
Answer:
Given the cost of medical car, and the state of our legal system, I think it makes sense to up your coverage. The minimum is pretty much a joke, and won't cover anyone's serious injuries. Let alone if they sue you for pain and suffering. Besides, if they win a judgement, they can attach your wages, and prevent you from ever buying a home.
You should do this anyway, because it's the right thing to do. Besides, the person you may end up covering may be a friend or relative riding in your car as a passenger. Don't let the asset calculation deter you.
I've had at least 100/300 liability ever since I could afford it. Last year I bumped it up to the max, which I believe was 300/600.
This is a personal choice, just know you have to live with your choices. Ultimately though, you want to purchase the most amount of coverage you can afford and that hopefully will protect whatever assets you own, assets you have now and possibly future ones.
As much as you can afford. You'll be thinking you are paying to much and trowing away your money until... something really bad happens.
I hope you'll never have to use your insurance, but you never know.
it depends. If you have a old car I would just put liability or whatever your states requires. Full coverage a brand new vehicle.
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