Oklahoma Auto insurance is one of those things that you can never really have too much of. If you don’t have it, or don’t have enough, a significant accident could leave you with thousands of dollars’ worth of bills to pay. That type of calamity could bankrupt just about anyone. Minimum coverage, while satisfying state laws for auto insurance, is a bad idea for many financial reasons.
If you choose to get minimum automobile insurance coverage, you are probably worried about the monthly bill. The problem with minimum coverage however, is that while you may be saving a more money each month, if you get into a major accident and are at fault, the money your insurance company pays will be capped at a certain point, and all costs above that coverage maximum will be your responsibility to pay. If the person you’ve injured has huge medical bills, you’ll be responsible for them after your insurance coverage has been exhausted.
One our agents recently told us this story, I thought it might help explain what I’m talking about a little better.
A couple of years ago one of my friends had asked me to quote their car insurance. I did quote their insurance but I raised the coverage and tried to explain that if a serious accident were to occur they would need the insurance company to pay more on their behalf. My friend decided to save the few extra dollars that it was going to cost. Just last month my friend’s daughter caused an accident. There have been two surgeries and a hospital stay to the other party to go along with the vehicle they were driving. If you know anything about medical bills these days you know that a minimum coverage policy is not going to pay for all that damage. Now my friends are looking at having to pay the rest of that amount out of their pocket. The thousands they could end up paying will certainly put a financial hardship on their family.
Minimum coverage is a bad idea not just for financial reasons, but for ethical reasons as well. If you have minimal coverage, and you’re responsible for an accident that costs thousands of dollars to another person and can’t pay for any of it, you’ve burdened another person with huge debt.
To learn more about your insurance coverage and if you have the right amount of coverage not just for your auto insurance, but also for your home, health, and life, visit our Free Protection Report website.