Are You Underinsured When It Comes to Your Car Insurance?

If you are relying on state auto insurance minimums, then you are underinsured.

As a driver, you know that you are legally required to carry auto insurance in Carrollton, Texas.  However, if you are like many other drivers, then this might be the extent of your insurance knowledge.  For instance, you might not know how much coverage you should be carrying.  If this is true for you, then there’s a good chance that you are underinsured without even realizing it.  To help you avoid dangerous coverage gaps, here’s how you can tell if you are underinsured and how you can secure the additional auto coverage that you need.

Are You Underinsured?

When it comes down to it, there is no set coverage amount that separates a well-insured driver from an underinsured one.  Every driver has their own unique risks that require different auto insurance solutions.  That being said, if your policy only offers you enough coverage to meet your state’s legal minimums, then you are almost certainly underinsured.

State insurance minimums are designed to offer drivers coverage for the injures and damages that they might cause to others.  However, these minimums tend to have low coverage limits and offer limited coverage options.  If you were to get into a car accident, your policy might cover some of your liability costs, but it’s unlikely that you will have enough coverage to cover the claim fully.  Additionally, your policy would not offer you coverage to address your own medical expenses and repairs costs.  Keep in mind that anything your policy cannot cover would come out of your own pocket.  Rather than relying on insurance minimums that leave you vulnerable, you should update your policy and get the coverage that you actually need to stay safe.

Upgrading Your Auto Coverage

To get the comprehensive auto coverage that you need, you should meet with your agent to discuss your options.  For instance, you can ask them about raising your current policy’s coverage limits.  If you are not sure how much you should increase them, your agent should be able to offer several options and explain how each will affect your premiums.  Additionally, you should ask about adding other coverage options to your policy, such as collision, comprehensive, and medical payments.  Anytime you increase your coverage, you will experience an increase in your premiums.  However, this rate increase is more affordable than the costs associated with covering an auto claim all on your own.  It is a small price to pay to ensure that you have the comprehensive coverage that you actually need.

Need to secure a new policy that offers you more than state coverage minimums?  Then turn to the experts at Mike Leonard Insurance Agency for assistance with your auto insurance in Carrollton, Texas.   Our dedicated team is eager to find you the right coverage from one of our many carriers including: Kemper, MetLife, Travelers, The Hartford, Safeco Insurance, Progressive, and American Strategic Insurance.