Basic Limits of Liability Insurance
In most states you are required to have at least the most basic type of car insurance to be able to legally operate a vehicle on the road. Liability insurance is the most basic type of car insurance and it does not cover your vehicle in a car accident only the others. Included in liability insurance is not only damage to property but coverage for injuries or deaths.
The minimal amount of insurance that is offered by a company is usually referred to as the basic limits of liability. While the minimal amount varies from company to company it usually is $25,000/$50,000. This means that the damage done to the third party?s property and bodily harm will be covered up to these limits. In some cases there is a company that offers only property damage. If you happen to choose this coverage then you will be responsible for any bodily harm.
There is another type of car insurance that you can have that will cover your car and the other vehicles as well. While these plans are more expensive they are preferable if you have an expensive car or if you want to have limits that will protect you in case a car accident causes serious bodily harm to the other person.
By having full coverage and higher coverage limits, you will have less to worry about in the event of a serious accident. In most small accidents basic liability will cover the property damage. However if you get into a serious accident with only the basic limits of liability then you will be liable to pay the difference. Thus it pays to have higher insurance coverage so that you don?t end up owing tens of thousands of dollars in damage and hospital bills.
Your insurance bill will be higher if you increase your coverage. Other big factors on your premium include your age, driving record, and car type. You will usually be able to choose how much coverage you have unless you?re buying a new car. In this case there are certain laws governing the type of coverage and the minimum that you need. The second number in the coverage limits is the bodily injury coverage. This number is usually double what the property damage limit is due to the fact that medical care is much more expensive.
In many states driving without insurance is illegal. You?re required to have state minimum liability coverage. Even in the states where you?re not required to have insurance you should as driving without it is very risky. Even a small accident can cost you thousands of dollars that will take years to pay off. Usually it?s better to have upgraded insurance that will cover damages that are done to your vehicle as well. Comprehensive coverage is also good for those who live in the city or in areas of extreme weather. This is because comprehensive is designed to cover damages to your vehicle not caused by accident such as theft and weather damage.
Finding the right type of insurance for a vehicle can be a difficult and long task however it?s a very important one. If you?re unsure about what type of insurance would be best for you then you should consult one or several insurance agents and get their recommendations. - 21396
The minimal amount of insurance that is offered by a company is usually referred to as the basic limits of liability. While the minimal amount varies from company to company it usually is $25,000/$50,000. This means that the damage done to the third party?s property and bodily harm will be covered up to these limits. In some cases there is a company that offers only property damage. If you happen to choose this coverage then you will be responsible for any bodily harm.
There is another type of car insurance that you can have that will cover your car and the other vehicles as well. While these plans are more expensive they are preferable if you have an expensive car or if you want to have limits that will protect you in case a car accident causes serious bodily harm to the other person.
By having full coverage and higher coverage limits, you will have less to worry about in the event of a serious accident. In most small accidents basic liability will cover the property damage. However if you get into a serious accident with only the basic limits of liability then you will be liable to pay the difference. Thus it pays to have higher insurance coverage so that you don?t end up owing tens of thousands of dollars in damage and hospital bills.
Your insurance bill will be higher if you increase your coverage. Other big factors on your premium include your age, driving record, and car type. You will usually be able to choose how much coverage you have unless you?re buying a new car. In this case there are certain laws governing the type of coverage and the minimum that you need. The second number in the coverage limits is the bodily injury coverage. This number is usually double what the property damage limit is due to the fact that medical care is much more expensive.
In many states driving without insurance is illegal. You?re required to have state minimum liability coverage. Even in the states where you?re not required to have insurance you should as driving without it is very risky. Even a small accident can cost you thousands of dollars that will take years to pay off. Usually it?s better to have upgraded insurance that will cover damages that are done to your vehicle as well. Comprehensive coverage is also good for those who live in the city or in areas of extreme weather. This is because comprehensive is designed to cover damages to your vehicle not caused by accident such as theft and weather damage.
Finding the right type of insurance for a vehicle can be a difficult and long task however it?s a very important one. If you?re unsure about what type of insurance would be best for you then you should consult one or several insurance agents and get their recommendations. - 21396
About the Author:
Graham McKenzie is the content syndication coordinator for Carinsurancesa.co.za. South Arica?s leading Car Insurance portal.
posted by X - Men @ 3:34 AM
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