Although car insurance is a topic that most people do not want to talk about, Patriot Insurance Brokers will help you get a basic understanding of various types of coverage, the minimum requirements by law in Minnesota, and what liability coverage level you need to protect yourself.
The internet has brought great advances to convenience in shopping. We can now go online to buy the insurance and think we are saving money.
Are you getting what you need liability-wise when you buy online? Are you buying the minimum coverage, and will that be enough?
It is important to know what car insurance coverage you are buying and if it will have enough coverage for you. Let’s look at coverage levels and four common types of car insurance in Minnesota as well as what is required for Minnesota drivers.
Liability coverage
Auto liability coverage is required by most states.
States set minimum limit drivers are required to purchase before legally being able to drive. In Minnesota, the minimum limit is $30,000 for injuries per person, $60,000 for total injuries per accident, and $10,000 for property damage.
Liability coverage comes in two coverage options.
Bodily injury coverage pays damages for bodily injury or death resulting from a car accident for which you are at fault. Property damage coverage pays for damage to someone else’s property resulting from a car accident from which you are at fault.
It is important to remember liability coverage does not cover any expenses for you or your passengers.
Personal Injury Protection (PIP) coverage
Personal injury protection coverage, also known as no-fault coverage, pays for policy holders’ direct and indirect medical expenses after a car accident. This could include lost wages and childcare as well.
In Minnesota, the minimum no-fault coverage is $40,000 per person. That amount is $20,000 for medical expenses and $20,000 for non-medical expenses.
With the cost of health care today, $20,000 does not pay much. Patriot Insurance Brokers will assist you in finding the proper coverage you need to protect your assets.
Underinsured/Uninsured coverage
Underinsured coverage can protect you from at-fault drivers with insufficient coverage.
If you are involved in an accident with an underinsured motorist, coverage will pay for medical claims because the driver does not have enough liability coverage to cover the claims.
Uninsured coverage helps pay for your medical expenses when you have used all your personal injury protection, or the car accident occurred with an uninsured motorist.
Should an accident occur causing property damage, uninsured coverage would also help pay for claims.
This is another reason it is important to speak with an agent from Patriot Insurance Brokers to assist you in being properly covered in case of involvement with an uninsured or underinsured motorist.
Collision Coverage
Collision coverage helps protect you by paying for damage to your car from being in an accident. The insurance company can pay to repair or replace the vehicle after the accident regardless of who is at fault.
Collision coverage is required for leased vehicles and financed vehicles. Collision coverage is a good idea to have if you cannot afford to repair or replace your car if it gets damaged.
Comprehensive Coverage
Comprehensive coverage is important to help cover if your car was not involved in an accident, but the car received damage from a fire, theft, vandalism, hail, falling objects, hail, and animal collisions.
Comprehensive coverage helps pay for damage occurring from one of these events.
Other Insurance Options
Other insurance available to purchase includes rental car insurance, roadside assistance, an umbrella policy, and classic car insurance.
Rental Car Insurance
Rental car insurance is coverage for your car when you are having it repaired from damages occurring from an accident. With rental car coverage, it will help pay for a rental car during this time.
Roadside Assistance
Roadside assistance helps pay for those times when you need some help because you run out of gas, have a flat tire, or need to be towed to the nearest repair shop.
Umbrella Policy
An umbrella policy is an extra liability, starting at 1 million dollars or more, that goes beyond the limits of your homeowner’s insurance and car insurance. It provides an additional level of security for those who are at risk of being sued for damage to other people’s property or injuries caused to others in an accident.
Classic Car Inusrance
Classic car insurance protects your collectible against collision, comprehensive, and other specialized coverages. These policies are similar to a regular auto insurance policy.
Car Insurance Premiums & Discounts
Minnesota law requires that all drivers have auto insurance. This is for a good reason, as it can protect you from the financial costs of an accident or injury. It is important to have proper coverage as many drivers are not driving with adequate coverage.
While comprehensive and even minimum coverage policies can be pricey, you can qualify for several premiums and discounts. They will lower the monthly payment and make protecting your car more affordable. That way, you can have peace of mind in case of an accident.
Car insurance premiums are determined using the following factors:
- Driving record
- Credit score
- Your car’s make, model, and year
- Your age and gender
- Deductible amount (higher the deductible, the lower your premium)
You may qualify for discounts of:
- Homeowners
- Good student
- Safe driver
- Multi-car
- Safety device
- Anti-theft
- Accident prevention course for 55+
Protect Your Car by Purchasing Online
Because of the advancement in technology and the internet, a lot of individuals are purchasing insurance through the internet.
By going through the internet, you do not have the value of an agent or broker to assist you in finding coverage to help pay medical payments, collision coverage, comprehensive coverage, and the right amount of liability coverage.
Many go to the internet for the lowest premium to save money. This, in turn, gets you coverage at the minimum requirements. In Minnesota, the minimum no-fault coverage is $40,000 per person.
That amount is $20,000 for medical expenses and $20,000 for non-medical expenses. With the cost of health care today, $20,000 does not cover much.
Meshbesher and Spence, a law firm out of Minnesota, noted the importance of an individual agent and broker helping individuals find car insurance because of the number of people not having adequate insurance.
From car insurance to Medicare and more, Patriot Insurance Brokers helps get you the coverage you need to protect your assets. Let Patriot Insurance Brokers help you with some advice on coverage to protect you from losses you need to be able to cover.
Call our team of passionate insurance brokers today at (888)-232-2583.