There is much to say about the insurance system in this country. But let us not get political. Let us just look at reality.
More and more people are dropping their car insurance these days. To save money. But is it wise? How much car insurance do a person really need?
All states, except for Wisconsin and New Hampshire, requires that you have liability insurance. Make sure you know the minimum coverage.
If someone else is injured and you’re at fault, the minimum liability coverage may not cover their medical expenses. What happens then? Well, some lawyer will most likely come after your assets.
If your personal assets don’t amount too much, you might not have nothing to worry about. Otherwise, and I guess that goes for most of us, you should perhaps purchase 100/300 limits of bodily injury liability. Or higher. Because medical bills can be ridiculously high. Trust me on that one.
Besides various forms of liability insurance, there is collision and comprehensive auto insurance coverage to consider. A new, expensive car? yes, go for it. Grandpa’s old car? Nah…
And remember, always study your other insurance policies so you don’t end up paying for something you don’t need. With a good health insurance plan, you should consider the minimum personal injury protection coverage. Put the money on a good liability insurance instead.
And never think that you won’t need your car insurance. Accidents can happen to anyone. At anytime. You can trust me on that one as well.