Auto Insurance

[dfchelbay]

We haven't made changes to our insurance in about ten years. We always had leased cars and we were required to carry really high Liability $500,000.00 limits. As of May, we no longer have any leased cars. I am considering lowering Liability coverage a bit. Currently I have:

Liability/Bodily Injury

$500,000 each person
$500,00 each accident

Property Damage each accident $500,000
Property Protection $1,000,000

We are insured in a No-Fault state, which means everyone pays for their own damages and injuries. Unless I am missing something, we have an SUV and a car, and I really don't think I need such high coverages for non-personal injuries. These high limits were mandatory when we leased cars. Since we no longer lease, I think we should lower them. We'll maintain full coverage on our car still.

What are all your thoughts. Also, what would you recommend to lower it to, $100,000, $200,000, etc. We do have medical insurance in addition, which would pick up where auto insurance ends, if there was a medical situation due to an auto accident. Thanks everyone for your thoughts.

 

[kittychatalot]

Thats not what no fault means. No fault only refers to injury and means that if you are hurt in an accident , your own policy will pay primary before going to the at fault parties policy. I myself carry 250/500 which means $250K per person, $500K per accident for bodily injury. and the $100K for property damage.So if I hit a car and two people in the car are injured $250K each, they will be covered. You want to have limits of liability that will protect your assets. People who don't own much don't have as much liability. If you own things like cars, house, investments, then you have assets to protect.

 

[Praying Colonel]

In my state, "no fault" definitely doesn't mean that each side pays for their own damages and injuries. No Fault (or Personal Injury Protection, or Basic Reparations Benefits) coverage essentially means that the insurance covering the vehicle you are occupying pays your medical expenses and $200/week in lost wages, up to a total of $10,000.

In my state, you still have to go after the other guy for past/present/future pain and suffering, impairment of power to labor and earn money in the future, future medical expenses, as well as medical expenses and lost wages above the amount paid by the PIP carrier.

Or put another way: the other driver can come after me for those items of damages.

Bottom line: before I reduced my coverage, I'd consult with an insurance agent to insure my coverage was sufficient for my state of residence.

 

[dfchelbay]

Thats not what no fault means. No fault only refers to injury and means that if you are hurt in an accident , your own policy will pay primary before going to the at fault parties policy. I myself carry 250/500 which means $250K per person, $500K per accident for bodily injury. and the $100K for property damage.So if I hit a car and two people in the car are injured $250K each, they will be covered. You want to have limits of liability that will protect your assets. People who don't own much don't have as much liability. If you own things like cars, house, investments, then you have assets to protect.

That IS what No Fault means in this state. Your insurance pays for your injuries and your damages to auto. The other person's insurance pays for their injuries and their auto. This state operates auto insurance under the "it doesn't matter who's at fault", your own insurance pays for your own damages, bodily and property.

I wish it weren't this way because everyone's rates are way above average because of it. Everyone who has a policy pays a bit more than we should because of all those who drive around with out it. Even if it's not your fault, your own insurance still has to pay for you and your car.

The one good thing about it, I guess, is that you don't have to sit around and wait for someone else's insurance company to stop fighting against you to get medical and car bills paid.

 

[wmharley]

I live in FL too and all my last accidents where i get hit, i go through the other's insurance..

I would lower the coverage... I don't know if I have 300/500/300 or 100/300/100 as my wife handles it (she worked for 2 insurance companies so I trust her on this now). I do know we have the lowest deductables on comp/coll and we've got uninsured coverage too...

Funny how Morgan and Morgan commercials say that folks need to complain if their agent didn't include UM coverage and that they would help you sue for Errors and Ommisions...

ummm Uninsured motorist coverage isn't required under FL law... d'oh

 

[DMickey28]

Florida's No Fault law pertains to ONLY Injury. It requires you to carry PIP insurance to protect yourself in the event of an accident.

If you are involved in an accident that is the other person's fault that results in ONLY Property Damage you can file through the other insurance company. Once any injury is involved you need to file through your own company for the PIP.

I have worked Auto Claims for numerous insurance companies for both Florida, Michigan (another No-Fault state) and various other states.