Whether you need answers to these questions or just want an auto insurance quote, you’ve come to the right place
Bodily Injury Liability coverage will pay for damages to other people’s property as a result of an accident caused by you or another covered driver.
Here are some examples of damages covered under the Bodily Injury Liability of your policy:
So What Limits Do I Need? That is the question that only you can answer with the help of you Agent. When speaking with customers, this is a story that is often used at ALLCHOICE.
You are involved in an accident (which is your fault). You ran a stop light and struck another car that contained three (3) people.
All three people were injured and taken to the hospital. The driver suffered numerous injuries, including a broken arm.
The other passengers all sustained minor injuries. It is possible that North Carolina’s minimum Bodily Injury Limits would pay for the hospital bills (lets assume they did).
However, the driver (who suffered a broken arm) just happens to be Brain Surgeon!!! How much would a simple month away from his occupation cost in terms of lost wages? Are those minimum liability limits still sufficient?
This is a prime example of needing proper liabiity limits and even a Personal Umbrella Insurance Policy
Property Damage Liability will pay for damages to other people’s property as a result of an accident that is caused by you or another covered driver. Here are some examples of damages covered under the Property Damage Liability of your policy.
So What Limits Do I Need? That is the question that can only be answered by you with the help of your agent.
Let’s continue with our same hypothetical accident from “Bodily Injury”. The Brain Surgeon that you hit was driving a NEW Mercedes CLS550 (Sticker Price $70,000 +). North Carolina requires you carry a minimum of $25,000 Property Damage Liability. That leaves a very large shortfall ($70,000 – $25,000 = $45,000) between what your insurance will pay for and what you will have to pay “out of pocket”!
Are those minimum liability limits still sufficient?
Uninsured Motorist coverage provides protection for YOU when an uninsured driver injures you or another covered individual (when that driver is at fault). This coverage also provides protection for damage to YOUR property.
Underinsured Motorists coverage provides protection when an underinsured driver causes injury to a covered individual (when that driver is at fault).
An underinsured driver is defined as one whose limits of liability are less than your UIM Limits, and not enough to cover losses of the people the underinsured driver injures.
Collision means physical damage to YOUR covered vehicle caused by an impact with another vehicle or object. Collision Coverage will pay the lesser of the cost of repair or the ACV (Actual Cash Value) of your automobile.
Collision Coverage is an optional coverage, however, you may be required to carry Collision Coverage if you have financed your vehicle.
Comprehensive Coverage pays the cost of repair of ACV of your automobile when damage is caused to your covered vehicle by something “other than collision”. Here are some examples:
Comprehensive Coverage is an optional coverage, however, you may be required to carry Comprehensive Coverage if you have financed your vehicle
Towing & Labor Coverage pays for towing and labor costs each time your covered automobile or any non-owned automobile is disabled or the keys are lost, broken or accidentally locked in the car.
This coverage will pay transportation expenses incurred by you or loss of use expenses for a non-owned vehicle for which you become legally responsible.
Medical Payments Coverage pays for reasonable expenses (medical or funeral) due to an automobile accident. Who is covered?
Medical Payments Coverage is an optional coverage.
Car Insurance Premiums vary from state to state, city to city, and person to person!
Here is a look at some of the factors that influence your insurance premium.
NOTE Discounts are often just talking points for Insurance Carriers. Different Carriers offer different discounts.
Discounts are reductions off of the carriers Base Insurance Rates for a particular risk. Therefore, a carrier could offer NO DISCOUNTS and still have lower a premium than another carrier that offers 100 Discounts if the BASE RATE is lower to start with.
However, in order to make sure you qualify for the very best insurance rate, here are a few discounts to consider:
While every state has different requirements, if you live in North Carolina, Auto Insurance is something that most individual residents of must have.
The problem that many NC Residents face is a lack of understanding of what coverages, and what coverages are needed. The North Carolina Financial Responsibility Laws require that Automobile Liability coverage be maintained. The minimum coverage requirements are as follows:
Additionally, North Carolina now requires that all licensed drivers carry Uninsured/Underinsured Motorist Coverage at least equal to the highest liability limit on any one vehicle insured under the policy. Now that you know what the law requires…let’s take a better look at the actual coverages that are available.