Liability Insurance: How much do I need?

The state minimums for liability coverage for your auto are $30,000 per person and $60,000 per occurrence for bodily injury coverage, and $25,000 for property damage.  That means that if you cause a wreck, each person in the other vehicle(s) involved could get up to $30,000 to cover their injuries, but only up to a total of $60,000.  If more than two people are seriously injured, $60,000 may not be enough to cover their medical expenses.  Another thing to consider is that the actual damage to their car would be covered up to $25,000, but if their car is worth more than that, you could be left paying out of pocket for the repairs. 

Because the state requirements for liability coverage are so low, and may leave you exposed financially in the event of a wreck, at Barry Insurance we recommend coverage of at least $50,000 per person and $100,000 per occurrence for bodily injury coverage, and $50,000 of coverage for property damage.  These higher limits on your policy will ensure that you are completely covered in the event of a wreck. 

What stops people from looking into this higher coverage?  Many people have the misconception that with higher coverage comes much higher rates, but this is typically not the case.  An increase in coverage to $50/$100/$50 is usually not much more expensive than limits of $30/$60/$25.  In fact, sometimes the higher coverage amounts are actually cheaper! 

If you have any questions about your liability coverage, come see us or give us a call at (903) 831-3493.  Don’t wait until it’s too late to make sure you’re fully protected!