Having the right auto liability insurance is very important!
Although no one really likes to pay for car insurance, you do want to be sure that you are covered just in case you're in an accident and you are the one at fault.
Of course, we all know that it is NEVER our fault! :) Isn't that right? Unfortunately, there's always a bit of debate about that. So just in case the verdict doesn't fall in your favor, it's good to be covered.
Besides, imagine how horrid you'd feel if you had an accident where someone was seriously injured and ended up with a massive hospital bill on top of all of their pain and suffering. It really doesn't bear thinking about.
Seriously, though, there are two main types of auto insurance liability.
The first is what we will cover here in this article, and that is known as Bodily Injury Liability Coverage.
The second type of liability car insurance is property damage liability which will cover you if you "accidentally" do damage to someone else's property.
You can and should read more about that type of liability coverage too because you do want to cover yourself in that event as well.
Bodily injury insurance protects you if you injure someone, or heaven forbid, kill someone while driving your car.
This type of liability car insurance will generally also pay for your legal defense if you are sued as a result of an accident.
In addition, you will be covered for claims for pain and suffering, lost wages, or other damages.
Although we never anticipate having a serious accident, you want to be sure you carry enough liability insurance to cover you in that event.
You certainly don't want to take the chance of losing your house or other valuable assets on top of having the trauma of your accident.
All states require a minimum of auto liability coverage by law. If you
just want the bare minimum required, you need to check and see what is
required by the state insurance department in the state where you reside.
Although a minimum is required, you can raise your coverage for the amount you feel necessary in order to reasonably protect your assets.
It is generally considered a good idea to have about $100,000 of bodily injury insurance per person.
I realize that seems a bit excessive, but have you seen the cost of hospital bills these days? Absurd!
Don't forget, bodily injury is just one half of your auto insurance liability requirements. You also need to consider your property damage liability. Be sure to keep yourself covered.