How Much Auto Insurance Do I Really Need?

Are you about to purchase a vehicle or have you recently gotten your license and need to get automobile insurance? If so, there are some things you should know beforehand. An expert at Paragon Independent Insurance Agency of the Plano, TX region can assist you with the process so you know just how much insurance you’ll need for your situation. 

Get the Coverage You Need 

Make it a point to get adequate car insurance for your state’s minimum requirements as well as to protect your finances. If your vehicle is damaged in an accident or in some other manner, it can be costly to repair or to replace if you have a total loss. There is some type of minimum auto insurance in every state that you must have to be able to drive legally. 

Beyond this, the amount you should have in coverage depends on factors such as your car’s value, where you live, your driving habits, and your financial situation. This should be a serious discuss you have with the company from which you plan to get your policy. 

Top Considerations 

In addition to looking at your situation, you’ll want to have an agent compare the cash value of your vehicle to the cost of collision and comprehensive coverage. If this coverage would cost more than 10 percent of your car’s value minus your deductible, then it’d be best if you skip it. 

Liability insurance is a key thing to have when it comes to protecting your finances. Your agent can calculate how much you’d need in order to cover the total value of your net worth. If you have assets worth over a certain amount, they’ll recommend a specific liability policy that goes above the standard amount. 

Some other types of coverage you might consider include Personal Injury Protection, Uninsured/Underinsured Motorist, Medical Expenses, and gap insurance bridges (which do what it sounds like, covering the difference if your automobile is a total loss). 

The experts at Paragon Independent Insurance Agency of Plano, TX and beyond are ready to help you get the insurance that you want and need. Reach out to us with your questions and concerns today.