Driving an automobile is one of humanity’s most freeing acts, but it is also one that demands the utmost care and responsibility. While no one wants to admit that a wide array of accidents can occur during driving, it is nonetheless a fact of life. In order to operate your automobile with assurance and relief, you must possess Scottsdale auto insurance.
There are many unforeseen events that can arise from driving a car, truck, or SUV. Your auto insurance policy is what will shelter you from such unplanned events if they ever happen. In fact, since auto insurance is the only sure way to protect your assets from an accident, it is essential that you understand the basic workings of the auto insurance system.
Assessing your auto insurance needs is paramount to choosing the appropriate coverage for your personal circumstance. There are multiple auto insurance policies from which to choose: Collision, Comprehensive, Property Damage Liability, Bodily Injury Liability, Uninsured and Underinsured, and Personal Injury Protection. Knowing a little about each will help you to open up a meaningful dialogue with your Scottsdale insurance agent.
Collision coverage will cover the loss to your vehicle from such events as running into another car, a fence, a wall, a light post, etc. Essentially, if your vehicle runs into any other vehicle or object, your collision coverage will shelter you.
Comprehensive, on the other hand, covers the complete loss of your car as a result of theft, fire, natural disasters (earthquake, flood, or hurricane), vandalism, or falling objects, etc.
Property Damage Liability will pay for the damage that is done to another motorist’s car. While all states require drivers carry some of this coverage, most do not carry a sufficient amount. For instance, if your luxury car cost $90,000 and the car you ran into cost $50,000, that accident has a $120,000 potential loss. You should most definitely consider the cost of your own vehicle when deciding on the best Property Damage Liability coverage.
Bodily Injury Liability will address the medical costs incurred as the result of an accident you cause. Again, states require their drivers to hold such coverage, but most do not possess the amounts that are needed after a serious accident.
Uninsured and underinsured are exactly what they purport to be. You know that you carry enough coverage to adequately protect yourself and other drivers, but unfortunately not everyone is as conscientious or law-abiding as you. Accidents with underinsured and uninsured motorists happen every day. The only way to truly protect yourself and your assets from their negligence is to carry your own special coverage just in case. Even if you were to take an underinsured or uninsured motorist to court to pay for your injuries sustained during an accident they caused, there is no guarantee that the courts will be able to get you the funds you deserve. It’s much less stressful to simply allow this policy to take over where your medical insurance leaves off.
Lastly, Personal Injury Protection only need be attached to your auto insurance if you do not have such coverage under your health, life, and disability policies.
While considering the types of policies that will best protect you as a motorist, you must also consider certain aspects of your lifestyle. It is so important for you to take your assets into account because that is what you are working to protect. Consider this rule of thumb to determine your net worth: “…total the equity of your home and property, the value of your possessions, your savings and investments, plus any retirement benefits you might have.”
Once you attain that figure, add a bit of cushion for extra security to determine exactly how much coverage will best protect you. You may even want to consider Umbrella Coverage to add to your minimum Liability for one final level of protection.