How much auto insurance coverage do I really need?

Question

I have a 1993 240sx.

Renter.

Do i really need 100/300/100?

Answer 1

Seeing as even a relatively minor accident can end up with tens of thousands in medical bills, the real question is what assets do you have that you need to protect?

You rent rather than own a home right now, but do you want to buy property in the next ten years? Are you willing to have your credit ruined, lose your savings, and perhaps end up having a portion of your wages seized for the foreseeable future?

For most people, I would say that 100/300/100 is the least that they should carry, and in many cases they should carry a lot more. A one or two million dollar umbrella liability policy, in addition to your auto insurance, may be a very good idea!

Answer 2

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Answer 3

I wouldn't even think of driving with anything less than that. Given the cost of medical care and the high jury awards in personal injury cases, anything less could leave you exposed to a devastating financial loss.

The cost of excess liability coverage is surprisingly low for most drivers. My basic liability is about $135 for six months (20/40/10) but the increase to 300/500/200 only costs me an extra $30. That's incredibly cheap peace of mind! On top of that I have a $1 million blanket liability policy through my homeowner's insurance that costs me $65 a year.

Just being a renter isn't enough. A judgement against you could lead to a wage garnishment that could last for decades. You're only truly judgement proof if you're retired and collecting Social Secuity.

Answer 4

Your state required minimum limits vary (from 10/20/5 to 50/100/50 in some states).

It is probably only a nominal amount extra per month for the extra insurance over the state minimum and it is defeinitely good to have. Any damages or injuries you cause above your policy limits are your personal responisibility.

$100K is Property Damage may seem like a lot, but you lose control of your car and hit two or three new parked cars, at $30K per car, that is already $90K in damages. Better to be a little overinsured than a little underinsured.

Answer 5

Is your car paid for? Can you replace it if it is totaled in an accident? Do you have the money to pay for someone if they are hospitalized for an extended stay if you are in an accident and it is your fault? You may not need 100/300, but get the most that you can afford. Unfortunately, insurance is the one thing that you have to have, you hope to god you never need it, and you have to pay for it whether you use it or not!

Answer 6

Buy every dollar of liability insurance you can afford. That is the dumbest thing to cheap out on. You can buy another car for $1,000, but if you are at fault in an accident that kills or incapacitates a surgeon, you are going to be sued for many hundreds of thousands of dollars. Buy at least a million dollars of coverage if you can.

Answer 7

It is mandatory that you carry at least $100,000. Liability coverage (to cover personal injury), and it is usually mandatory to have Collision coverage if you bought the car with a bank loan. Otherwise all you would need is "Fire and Theft" coverage.
This does change a bit from state to state in the U.S.A. and province to province in Canada.
You should get some further information from an Insurance Agent or broker or two. I would get at least three separate quotes and then decide.
Sounds like you have a fast little car there!

Answer 8

I would recommend one to visit this site where onel can compare quotes from different companies: http://INSURANCECOMPAREQUOTES.US/index.html?src=5YAhih52VaKMtd1

RE :How much auto insurance coverage do I really need?
I have a 1993 240sx.

Renter.

Do i really need 100/300/100?
Follow 8 answers

Answer 9

I would only have liability. But it depends on how confident you are with your driving.