Time and time again I talk to people who have been in an accident only to find out that their insurance is inadequate to cover their injuries. This situation is often worsened by the fact that the person at fault in the accident had little or no insurance.
Car accidents can cause injuries that cost hundreds of dollars to hundreds of thousands of dollars in medical expenses. Therefore, you need insurance that can cover those bills and then some. I reccomend that your car insurance policy contain the required PIP and property damage coverage as well as bodily injury and UM insurance.
Bodily Injury coverage is used to pay for the medical bills and injuries of someone who is injured by you in a car accident. I reccomend at least $100,000 in bodily injury coverage, but if you can afford it go to $250,000. This will help to protect you from being sued personally.
UM (Un or Underinsured Motorist Coverage) is the coverage that protects you, your immediate family and your passengers in a situation where the person who caused the accident had no or inadequate coverage. I reccomend that your UM coverage be the same as your bodily injury coverage. The minimum amount should be $100,000 but if you can afford it go for $250,000. Remember this coverage protects the ones you love so don’t let your agent talk you out of it.
