I often ask clients who have been victims of car wrecks what type of coverage they have. Most respond that they are “fully covered.”
What does that mean? Too often, people who tell me that they are “fully covered” aren’t fully covered. They usually only have the minimum liability limits required by law. But they think they’re “fully covered” because some agent told them that without explaining to them what it really means.
As I’ve mentioned earlier, when buying liability insurance to protect yourself from a claim made against you when you cause a wreck, you need to make sure you have adequate liability insurance. For most people, that means more than the $30,000.00 required by law.
Additionally, you need to buy personal injury protection and uninsured/underinsured motorist coverage to make sure that you’re protected when you or your family is injured in a wreck caused by someone else.
In my mind, you’re not “fully covered” until you have these types of insurance in sufficient amounts to cover a likely claim size given your circumstances.
Don’t just let the agent tell you you’re “fully covered.” Make the agent explain what the mean and how you’re being protected.