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Understanding Auto
Insurance Limits
Example :
25/50/15 Coverage (terms of thousand)
25- Physical injury
liability maximum for one person injured in an accident
(this case it would be $25,000)
50 - Physical injury
liability maximum for all injuries in one accident (this
case it would be $50,000)
15- Property damage
liability maximum for one accident (this case it would
be $15,000)
Comprehensive
Coverage-
Comprehensive coverage helps pay for
damage to your car resulting from fire, certain natural
disasters, falling objects, and vandalism. Theft's also
covered. You will choose a deductible for this.
Collision
Coverage-
Collision coverage helps pay
for auto repair or replacement costs if your car hits
another vehicle/object or if your car rolls over.
You will choose a deductible for this.
Liability Coverage-Liability
coverage protects you from having to deplete your assets
to pay for damages if you're held responsible for
injuries or damages arising from a car accident. Most
states if a driver owns their Car outright they do not
have to carry Comprehensive.
PIP -
Personal Injury Protection (PIP) is required in some
states. This coverage pays medical expenses for the
insured driver, regardless of fault, for treatment due
to an auto accident.
Medical
Coverage - Pays medical expenses regardless of
fault when the expenses are caused by an auto accident
Uninsured
Motorist - Pays your car's damages when an auto
accident is caused by a driver who doesn't have
liability insurance. If mandatory in the state
typically the same limits you choose on your vehicle
will apply
Optional
Benefits
Rental
Reimbursement - This type
of coverage will pay for a rental car if your car is
damaged due to an auto accident. Often this coverage has
a daily allowance for a rental car. The most common
option is $25 per day.
Towing and Labor
Costs Coverage - This option will help reimburse you
for towing and other basic roadside-assistance expenses.
Vehicle Usage
Business – If vehicle is used for business- (I.E.
Truck for Lawncare etc…) Most expensive to have
this type of usage
Pleasure - You drive the care for fun, you work
from home etc… This is the least expensive type of usage
Commuter - The most common. You drive you car to
work. You must list you 1 way mileage to your job.
State Minimums
| State |
Liability required? Liability minimums
(inthousands of dollars) |
PIP
required? |
No-fault
state? |
Uninsured motorist coverage required? |
|
Alabama |
Yes,
20/40/10 |
No |
No |
Yes |
|
Alaska |
Yes,
50/100/25 |
No |
No |
Yes |
|
Arizona |
Yes,
15/30/10 |
No |
No |
No |
|
Arkansas |
Yes,
25/50/25 |
No |
No |
Yes |
|
California1 |
Yes,
15/30/5 |
No |
No |
Yes |
|
Colorado |
Yes,
25/50/15 |
No |
No |
Yes |
|
Connecticut |
Yes,
20/40/10 |
No |
No |
Yes |
|
Delaware |
Yes,
15/30/10 |
Yes |
No |
Yes |
|
Florida2 |
Yes,
10/20/10 |
Yes |
Yes |
Yes |
|
Georgia |
Yes,
25/50/25 |
No |
No |
Yes |
|
Hawaii |
Yes,
20/40/10 |
Yes |
Yes |
Yes |
|
Idaho |
Yes,
25/50/15 |
No |
No |
No |
|
Illinois |
Yes,
20/40/15 |
No |
No |
Yes |
|
Indiana |
Yes,
25/50/10 |
No |
No |
Yes |
| Iowa |
Yes,
20/40/15 |
No |
No |
Yes |
|
Kansas |
Yes,
25/50/10 |
Yes |
Yes |
Yes |
|
Kentucky |
Yes,
25/50/10 |
Yes |
Yes |
Yes |
|
Louisiana |
Yes,
10/20/10 |
No |
No |
Yes |
|
Maine |
Yes,
50/100/25 |
No |
No |
Yes |
|
Maryland |
Yes,
20/40/15 |
Yes |
No |
Yes |
|
Massachusetts |
Yes,
20/40/5 |
Yes |
Yes |
Yes |
|
Michigan |
Yes,
20/40/10 |
Yes |
Yes |
No |
|
Minnesota |
Yes,
30/60/10 |
Yes |
Yes |
Yes |
|
Mississippi |
Yes,
10/20/5 |
No |
No |
Yes |
|
Missouri |
Yes,
25/50/10 |
No |
No |
Yes |
|
Montana |
Yes,
25/50/10 |
No |
No |
Yes |
|
Nebraska |
Yes,
25/50/25 |
No |
No |
No |
|
Nevada |
Yes,
15/30/10 |
No |
No |
Yes |
| New
Hampshire |
No,
25/50/25 |
No |
No |
Yes |
| New
Jersey3 |
Yes,
15/30/5 |
Yes |
Yes |
Yes |
| New
Mexico |
Yes,
25/50/10 |
No |
No |
Yes |
| New
York4 |
Yes,
25/50/10 |
Yes |
Yes |
Yes |
|
North Carolina |
Yes,
30/60/25 |
No |
No |
Yes |
|
North Dakota |
Yes,
25/50/25 |
Yes |
Yes |
Yes |
| Ohio |
Yes,
12.5/25/7.5 |
No |
No |
Yes |
|
Oklahoma |
Yes,
10/20/10 |
No |
No |
Yes |
|
Oregon |
Yes,
25/50/10 |
Yes |
No |
Yes |
|
Pennsylvania |
Yes,
15/30/5 |
No |
Yes |
Yes |
|
Rhode Island |
Yes,
25/50/25 |
No |
No |
Yes |
|
South Carolina |
No,
15/30/10 |
No |
No |
Yes |
|
South Dakota |
Yes,
25/50/25 |
No |
No |
Yes |
|
Tennessee |
Yes,
25/50/15 |
No |
No |
Yes |
|
Texas |
Yes,
20/40/15 |
No |
No |
Yes |
| Utah |
Yes,
25/50/15 |
Yes |
Yes |
Yes |
|
Vermont |
Yes,
25/50/10 |
No |
No |
Yes |
|
Virginia |
No,
25/50/20 |
No |
No |
Yes |
|
Washington |
Yes,
25/50/10 |
No |
No |
Yes |
|
Washington D.C. |
Yes,
25/50/10 |
No |
Yes |
Yes |
| West
Virginia |
Yes,
20/40/10 |
No |
No |
Yes |
|
Wisconsin |
No,
25/50/10 |
No |
No |
Yes |
|
Wyoming |
Yes,
25/50/20 |
No |
No |
Yes |
|
