Beyond Minimum Liability: How Much Car Insurance Do You Really Need?
April 16, 2020

Beyond Minimum Liability: How Much Car Insurance Do You Really Need?

traffic_jamIn Claremore, Oklahoma, you need minimum liability auto insurance to legally drive your car. You can easily get a cheap limited liability policy, but that leaves you 100% on the hook for your own injuries and damages in the event of an accident you cause. That’s right, liability coverage only covers the other party. So if you’re looking to reduce your own financial risk as a driver, you’ll need more insurance. There is a delicate balance between having enough insurance without going overboard and paying for things you don’t need. Do some comparison shopping and consult with an insurance broker to help make your final decision. Here are a few things to consider when deciding how much insurance you need:


Is Minimum Liability Really Enough?

If you run a stoplight and crash into a luxury car while carrying only the minimum liability in Oklahoma, your insurance will only pay out $25,000 in property damage. So what happens if the property damage caused is actually $100,000? Well, you could still be sued and held liable for the difference. This is why you might want to consider buying more insurance than the minimum required by law. You might want to consider a plan with more coverage to protect yourself from lawsuits or paying out of pocket. Also, in order to get your own car and personal injuries covered, you’ll want other forms of coverage such as collision insurance and comprehensive insurance.


Does Your Lender Have Additional Insurance Requirements?

Unless you walked into the dealership and paid cash for your car, you probably took out a loan from a bank to purchase your vehicle. In that case, you don’t own the car outright from the moment you leave the lot, the lender does. They get to dictate how much insurance you buy and they often require additional insurance such as collision, comprehensive, and gap insurance.


How Expensive Is The Car You Drive And How Much Will It Take To Protect Your Assets?

Expensive cars cost more to insure and need more insurance protection. You’ll want enough insurance to be able to cover the full cost of the car in the event it gets totaled. If you have a business, a lot of money, or a lot of assets that someone might come after in a lawsuit then it’s best to protect these assets with a large amount of insurance as well. In the event you inadvertently cause a crash that results in a large number of damages or loss of life, your assets could be in jeopardy without enough insurance. 


 Make sure to meet with a trusted insurance advisor in Claremore, Oklahoma, to help you determine your exact insurance needs. Then shop around to find the best policy hat fits your specific needs. If necessary, you can lower your monthly premium by taking out a high deductible plan or taking advantage of various discounts offered by the insurance company.

Tags: auto insurance, Claremore, oklahoma

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