Is 100/300 low?

Question

I'm reviewing coverages for my auto insurance policy's liability limits. Are coverages of $100,000 per person and $300,000 per accident low coverages relative to what juries are awarding plaintiffs nowadays? The more qualified & experienced you are, the better I'll value your answer.

Answer 1

IMHO, 100/300/100 should be the minimum mandatory liability limit nationwide. Personally, I have 300/500/100 coverage with a $1,000,000 personal liability policy that supplements that and covers all other contingencies.

I lived in Europe for 10 years and most European countries provide for unlimited liability coverage on all auto insurance policies. Granted, most European countries are not nearly as litigious as the US, but I did feel much more comfortable with that coverage.

Answer 2

That depends on what you mean by "low." If you are referring to a state minimum, then probably not. If you are asking if you have enough coverage, I must say that you can never have enough.
Here's what I mean:
100/300 are your liability limits. This is what pays for the OTHER party's injury in the event that you are at fault for an accident. The 100 stands for "up to $100,000 in injury per person per accident". The 300 means "up to $300,000 total in injury for the accident."
So let's just say something awful happens and you rearend a car going 45mph. Let's say there was a baby in the car. Let's say the worst happens and the baby doesn't make it. Your policy will pay a maximum of $100,000 in injury for ea. person. But what is a life worth? Do you think the driver may sue you? Probably. the problem w/ this is that your ins. already paid out the max. that they are going to pay. And there is no limit to what a court can order you to pay to the family of the lost baby. So then you are in trouble. If you own a home, chances are that it will be taken.
There are always instances where you will not have enough- so get the most you can afford to avoid horrible situations.
Hope this helps!

Answer 3

100/300 is the recommended level for home owners. Technically, you should tally all your assets (home, car..etc) and that should be you liability level.

If you caused an accident and didn't have enough the the insurance - the other party would sue you for you home, car..etc and say 'give me the money'.

Personally, the way people are sue-happy these days. The difference between 100/300 and 250/500 is often small and I would opt for the higher amount.