FacebookTweetLinkedInEmailPrint Buying car insurance isn’t just a box to check, it’s a critical part of protecting yourself, your finances, and your vehicle.But when you’re faced with terms like liability, comprehensive, and uninsured motorist coverage, it can be hard to know what’s required… and what’s actually smart to carry.So, how much car insurance do you really need? Let’s break it down.

Start with the Legal Minimums Every state sets its own minimum car insurance requirements.Most states require you to carry: Some states also require: Check your state’s requirements.InsuranceHub can help you find the exact limits for where you live.

Why the Minimum Isn’t Always Enough State minimums are often too low to cover the full cost of an accident.If you’re at fault in a serious crash, medical bills and repairs can easily exceed legal limits.Once your policy maxes out, you’re responsible for the difference, potentially tens of thousands of dollars or more.

To stay protected, many experts recommend: These higher limits provide a cushion that keeps your personal savings and assets safe.Consider Full Coverage (If Your Car Is Newer or Financed) If you’re leasing or financing your car, or if it’s newer or valuable, your lender may require full coverage, which typically includes: Without full coverage, you’d have to pay out-of-pocket to repair or replace your car.That’s a big risk if your vehicle is worth more than you could afford to lose.

Think About Uninsured and Underinsured Motorist Coverage Despite laws requiring insurance, not every driver follows them.In fact, around 1 in 8 drivers in the U.S.are uninsured.

Uninsured/underinsured motorist coverage protects you when: It’s usually inexpensive to add, and it can make a big difference in your ability to recover after an accident.What About Medical Payments or Personal Injury Protection? Depending on your state, you might be offered: If you have good health insurance, you might be tempted to skip these.But they can cover gaps like co-pays, deductibles, or injuries to passengers who aren’t covered under your medical plan.

Evaluate Your Risk and Assets Choosing the right amount of coverage depends on your personal situation: How Deductibles Affect Your Premium A deductible is what you pay out-of-pocket before your insurance kicks in.Choosing a higher deductible can lower your premium, but you’ll pay more in the event of a claim.Common deductible choices: Choose a deductible you can comfortably afford if you need to make a claim.

Coverage That Fits Your Life Car insurance isn’t one-size-fits-all.The right policy should meet legal requirements, protect your finances, and give you peace of mind every time you get behind the wheel.To recap, you’ll want to: Still not sure how much coverage is right for you? Get a Free Quote from InsuranceHub and let one of our agents help you find a policy that fits your life, your budget, and your vehicle.

Disclaimer: This article is for informational purposes only and does not constitute legal or insurance advice.Contact a licensed agent for personalized guidance.FacebookTweetLinkedInEmailPrint