Auto insurance property damage limits

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Originally Posted by chemman
Call your insurance agent and ask how much an umbrella policy would cost for say, 1 million or 5 million of coverage. That would help protect you from taking a personal hit.

Also, the cost of an umbrella policy is based on what your liability exposure is - e.g., number of vehicles, boats, RVs, real estate owned, etc. Less exposure equals less premium.



What he👆 said...a good agent will do more than make sure you're just meeting state minimums.
 
I scoffed at an agent back in about the early 80's, when he suggested increasing to $100k property damage liability. I asked what I could hit that cost that much, other than a flagship model or two. He replied, "how about a tractor-trailer and you're judged at fault?". I did go with that, but still only have $100k today. Basic mini vans selling for over $50k.
 
100k/300k/100k, and a 1 million general umbrella policy is fairly safe if you drive responsibly. The 100k/300k/100k will not cost you much more per year over the state minimum coverage, maybe $50.00/$100.00. Its well worth the piece of mind. I think mine is about $50.00/$60.00 extra per year for 100k/300k/100k, and that's for 5 vehicles.

As Hank commented above, rear end a Mercedes that gets pushed into a BMW, you may very well be looking at 100k! And thats if they are both 2 years old.
 
Originally Posted by SVTCobra
Originally Posted by motor_oil_madman
I asked the insurance agent and she was like well that's up to you, you're well over the state minimum requirements. How dumb can you get? She must have been new.

Not too dumb. It is up to you, she can't make a personal decision called risk for you.


Ok, don't call it dumb, but regarlesss I'd call it irresponsible. To base a level of coverage on one's net worth, and then allowing folks with limited means to insure at a level that can never even partially result in making the effected party whole is... irresponsible. The point that so many vehicles are worth $50k is a valid one... medical, property, etc.. it all adds up quick.
 
Originally Posted by JHZR2
Originally Posted by SVTCobra
Originally Posted by motor_oil_madman
I asked the insurance agent and she was like well that's up to you, you're well over the state minimum requirements. How dumb can you get? She must have been new.

Not too dumb. It is up to you, she can't make a personal decision called risk for you.


Ok, don't call it dumb, but regarlesss I'd call it irresponsible. To base a level of coverage on one's net worth, and then allowing folks with limited means to insure at a level that can never even partially result in making the effected party whole is... irresponsible. The point that so many vehicles are worth $50k is a valid one... medical, property, etc.. it all adds up quick.


I would make the argument that folks with more assets needs more insurance to protect those assets. Someone with limited assets has less to lose and can declare bankruptcy and discharge the judgement.
 
I got the max they offer. If you own anything of value get more insurance. They will see you own a home etc and go after it if you have some cheap late night TV insurance
 
add up all your assets like your house and other tangibles and buy enough to cover them. if you own a home i would buy at least 250/500 and if you have more stuff buy an umbrella policy to cover any extras.

if you have nothing they can take when if you are liable for something , just buy the minimum.
 
Originally Posted by dishdude
Someone with limited assets has less to lose and can declare bankruptcy and discharge the judgement.


A lot of PI attorneys won't even take a case if the at fault party doesn't have insurance and/or assets. You're just SOL at that point..

The fines for not carrying at least the state minimum should be double what they are!
 
I never really put a lot of thought into this.

Living / working / driving around the DFW-Metroplex as much as I do ... I guess I should buy more insurance.

A lot of folks nowadays drive cars worth a LOT more than $50,000
 
Originally Posted by dishdude
Originally Posted by JHZR2
Originally Posted by SVTCobra
Originally Posted by motor_oil_madman
I asked the insurance agent and she was like well that's up to you, you're well over the state minimum requirements. How dumb can you get? She must have been new.

Not too dumb. It is up to you, she can't make a personal decision called risk for you.


Ok, don't call it dumb, but regarlesss I'd call it irresponsible. To base a level of coverage on one's net worth, and then allowing folks with limited means to insure at a level that can never even partially result in making the effected party whole is... irresponsible. The point that so many vehicles are worth $50k is a valid one... medical, property, etc.. it all adds up quick.


I would make the argument that folks with more assets needs more insurance to protect those assets. Someone with limited assets has less to lose and can declare bankruptcy and discharge the judgement.


Yeah, again, irresponsible. Someone with limited assets damages something valuable or harms someone, and it's OK that they don't make the damaged entity reasonably whole? Pile on top of that all the undocumented people operating in a similar regime...

I get it that there's an under/uninsured portion of a policy for that reason... but that's to cover against irresponsible people unable to pay for the issues they've caused. It strikes me that state minimums are there for a reason, but have not kept with the times in terms of the costs of assets or medical care.
 
Originally Posted by Mad_Hatter

A lot of PI attorneys won't even take a case if the at fault party doesn't have insurance and/or assets. You're just SOL at that point..


That's just not right.

I know you "can't get blood from a turnip" ..... but what is a viable alternate SOLUTION to the dilemma?
 
I would not call the decision dumb yet since Motorman has not had an accident and has saved a bit of money all this time policy
smile.gif


Now that you are aware pick the most coverage you can increase. $50k is peanuts.

I was able to milk some property/contents damage to my garage from unlicensed 15 year old driving mummies car/running from police in high speed chase. Using my personal home owners who collected/subrogated over $55k from car owners GEICO car insurance. The contents were 40% of claim with stuff stored for FIL who was between houses/downsizing and looking to sell on CL.
 
Originally Posted by Mad_Hatter
Originally Posted by dishdude
Someone with limited assets has less to lose and can declare bankruptcy and discharge the judgement.


A lot of PI attorneys won't even take a case if the at fault party doesn't have insurance and/or assets. You're just SOL at that point..

The fines for not carrying at least the state minimum should be double what they are!




You are missing the point. He mentioned property damage which PI attorneys don't work or really care about. They chase liability insurance. Insurance companies do in fact go after individuals . The nicest person I know was driving his car and crossed yellow line looking at girls with no insurance(not required in NH). He totaled a $50k+ Caddy in 1990. They were able force payments monthly with judgement of suspending drivers license if he chose not to pay. It worked!
 
Originally Posted by Linctex
Originally Posted by Mad_Hatter

A lot of PI attorneys won't even take a case if the at fault party doesn't have insurance and/or assets. You're just SOL at that point..


That's just not right.

I know you "can't get blood from a turnip" ..... but what is a viable alternate SOLUTION to the dilemma?


When my son got hit by an uninsured driver, who was on his phone according to other drivers at the intersection, we ended up filling an uninsured motorist claim with our State Farm policy. I hated doing that but that was our only recourse to cover some of the expenses like my wife missing work to take care of our boy and the copays and co-insurance expenses that added up quickly with the surgery (he had to have pins put in his shoulder and arm) and weeks of physical therapy for him because he had numbness in his arm and hand.

The driver only got 30dys in jail for this. It was his 3rd driving without a license and no insurance offense... and only 30dys. I was livid...
 
Originally Posted by hank2
I scoffed at an agent back in about the early 80's, when he suggested increasing to $100k property damage liability. I asked what I could hit that cost that much, other than a flagship model or two. He replied, "how about a tractor-trailer and you're judged at fault?". I did go with that, but still only have $100k today. Basic mini vans selling for over $50k.


Some peals of wisdom there. Had a good friend that was at fault t-boning a tractor-trailer in the flatbed trailer portion. Visible damage looked like nothing most would scoff at but since those trailers are rated for a specific tonnage, the trailer was totaled because it could no longer be certified for weight. Cost him and his insurance close to $96K to the business that owned the trailer. That cost was on top of his totaled Ford F150 that cost him close to $35K. He had $31K coverage deficit he had to eat. Basically lost out getting his truck replaced to cover the trailer damage and replacement.
 
Originally Posted by madRiver
You are missing the point. He mentioned property damage which PI attorneys don't work or really care about.



Huh? Not sure that's an accurate statement. I've been involved in 2 car accidents myself, both times the PI attorney secured a settlement for damages to my cars. And in both instances, the property damage amount paled in comparison to what I received in P&S.

Property damage limits are just one aspect of deciding coverage limits. Ignore bodily injury limits at your own peril.
 
Last edited:
Originally Posted by Hootbro
Basically lost out getting his truck replaced to cover the trailer damage and replacement.


Oh man, that sucks with a capital SUCK! Lesson learned I suppose...
 
I am not aware of anyone who ever planned to run into another car. As someone who has driven a ridiculous amount of miles for almost 5 decades I can assure you that you rarely schedule for that sort of thing.


These days with new car prices you may be a bit foolish to have low coverages. And some of us need a better insurance agent who is more helpful...
 
My New Agent talked me into a $1M umbrella. I though I would give it a whirl - now I'm driving a Turbo and I'm old and retired-ed.

Cost of one power lunch annually.

STATE FARM FIRE AND CASUALTY COMPANY
PERSONAL UMBRELLA RATE QUOTE
January 08, 2019
Prepared for: Prepared by: (NT)
xxxxxxxxxxx
xxxxxxxxxxx
HAMPSTEAD, NH
03841-2371
(603)329-5xxx
CLASS:1 AUTOS:02 RATES EFFECTIVE: Aug 01, 2017
DRIVERS:02 TERRITORY: 1
Policy Coverage Amount Premium
Policy Amount 1,000,000 159.00
Class 50 Discount Included 24.00CR
Total annual premium--------------------------------------$ 135.00
Monthly premium (service charge not included)------------- $ 11.2
 
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