The decision on how much coverage you need can be a hard one to make. The
minimum coverage is usually going to be the least expensive. If you opt for full
coverage then it can cost you a lot more.
Sometimes you don’t have a choice on how much coverage you buy, if your car is
financed or leased then the lender often requires the buyer to have full
coverage insurance on the car but if you do have the choice, how much coverage
should you get.
Each state regulates car insurance so the minimum coverage required can vary from state to state. A lot of online sites have checklists or other features that can help you figure out what level of coverage to buy easily or you can figure it on your own.
So if the minimum in your state is into $25,000 of bodily injury coverage per victim; $50,000 of bodily injury coverage per accident; and $15,000 of property damage coverage per accident you have to decide if that’s enough coverage.
An easy to start is to figure out how much your vehicle is worth, if it’s a little under $15,000 then you’re going to want more coverage because if you’re in at fault accident your auto insurance will only cover the cost of your vehicle and you will have to pay for any damages you caused to the other vehicle.
But if you have an older model used car that is only worth $1,000 to $3,000
dollars then the minimum coverage required by your state could be the perfect
fit. Even if you only buy the minimum amount of coverage you can sometimes add
other features such as rental car coverage, towing, etc for a small fee.
