You may be wondering: When is it fine to have only the minimum car insurance coverage? Minimum coverage is the bare minimum that most states require. However, the bare minimum is not always enough to cover all the expenses you may incur after a car accident. The best way to figure out if you should get more coverage is to compare the minimums with the rates you’re currently paying. The following list will give you an idea of what coverage you really need.
If you only have health and disability coverage, you can get away with the bare minimum PIP coverage. In addition, 60% of states don’t require uninsured/underinsured motorist coverage. But you don’t need it if you have health insurance. But uninsured/underinsured motorist coverage is a good idea for drivers of all types. Moreover, the cost is affordable. However, it’s important to remember that your health and finances could be at stake if you get in an accident.
Generally, it’s not a good idea to have only minimum car insurance coverage if you have few assets. Car crashes are expensive and your out-of-pocket costs can quickly mount. Even the smallest car accident can cost over six thousand dollars. One in eight liability claims is worth more than a million dollars, which is why you should consider getting a full coverage car insurance policy. This type of coverage will protect you against all kinds of costs, including medical bills and lost wages.