There have been a lot of big auto accidents lately.....

For those of you in Central MN, you may have noticed a large number of major auto accidents recently in our region and into the metro area. My theory is it must have something to do with this incredibly long winter creating a greater strain of "Cabin Fever" and greater difficulty with the spring excitement of driving, but the cause of the increase isn't what I want to focus on today, it is to increase awareness that these things do occur. At any given time many of you who will read this could be cruising down the road and happen to be a part of one of these accidents, and what happens if through it all you are found to be liable, either partially or wholly? Does your current auto insurance provide you enough protection for that?

I don't know the specifics of your policy but thought this article was a good start to getting this to be a top of mind issue:

How much coverage do I need?

Almost every state requires you to buy a minimum amount of liability coverage. Chances are that you will need more liability insurance than the state requires because accidents cost more than the minimum limits. If you’re found legally responsible for bills that are more than your insurance covers, you will have to pay the difference out of your own pocket. These costs could wipe you out!

You may want to talk to your agent or company representative about purchasing higher liability limits to reflect your personal needs. You may also consider purchasing an umbrella or excess liability policy. These policies pay when your underlying coverages are exhausted. Typically, these policies cost between $200 and $300 per year for a million dollars in coverage. If you have your homeowners and auto insurance with the same company, check out the cost of coverage with this company first. If you have coverage with different companies, it may be easier to buy it from your auto insurance company.

In addition to liability coverage, consider buying collision and comprehensive coverage. You don't decide how much to buy. Your coverage reflects the market value of your car and the cost of repairing it.

Decide on a deductible—the amount of money you pay on a claim before the insurance company reimburses you. Typically, deductibles are $500 or $1,000; the higher your deductible, the lower your premium.

Thanks to the insurance information institute for this basic information regarding how much auto insurance you may need, now I urge you to contact your agent to learn more or if you bought you current policy online, give us a call and let us give you an insurance evaluation for your protection in the future. If you have any questions don't hesitate to ask!