Knowing how much car insurance to put on a new or used vehicle can be complicated. Understandably, you want to stay within your budget. However, it’s essential to ensure that you don’t leave yourself underinsured in the process. Here’s some information about auto insurance amounts and what you should consider before you decide how much coverage to buy.
State Minimum Coverage
Each state has a minimum amount of coverage that it requires all drivers to purchase to operate a vehicle. The coverage typically pays for personal injuries, bodily injuries, and property damages. For example, Florida drivers must have $10,000 worth of coverage for bodily injuries and at least $10,000 worth of coverage for property damage.
Why Buying Minimum Coverage Isn’t Advised
Many drivers and small businesses purchase the minimum amount of automobile insurance allowable. We do not recommend bare-minimum coverage for a variety of reasons. For one, you never know what the extent of an accident will be. You may end up having to come out-of-pocket if the injuries or property damages exceed the small amount of insurance you have. We recommend going at least one level up on the coverage for extra security.
Comprehensive and Collision Coverage
Comprehensive and collision coverage insurance takes care of damages to your property that result from theft, vandalism, accidents, and the like. They are optional coverages in most cases except financed vehicles. You must carry comprehensive and collision coverage if you pay a finance company for your car. You may want to consider adding them even if you own it.
Deductibles and Premiums
Coverages such as comp and collision have deductibles that you must pay before the insurance company steps in to help you when an incident occurs. These deductibles can vary from as little as $250 to as much as $5,000. Your premium will change depending on the deductible that you choose. The higher the deductible is, the lower the premium will be. You can choose a deductible that coincides with your budget, but you must remember that you’ll have to pay that amount if an incident occurs before the claim pays.
We at Oyer, Macoviak and Associates are committed to finding you a perfectly tailored auto policy. Our agents will listen to your needs and walk you through the process of obtaining a plan the fits. Let us help you to ease your mind and resolve your auto insurance needs.
If you would to like to discuss your options for car insurance please call us at 561-732-9305 our quoting hours are Monday through Friday from 8:30 AM to 5:30 PM. In addition, you can request a quote online. Please remember, We Handle All the Work, While You Save!
Robert Macoviak is the President of Oyer, Macoviak and Associates. Oyer, Macoviak and Associates is the oldest independent insurance agency in Boynton Beach and has been in business since 1953. Oyer, Macoviak and Associates are vested members of the community who are committed to doing business face-to-face and being your insurance advocate in times of need.