There is no absolute appropriate answer. Suggest that you assess your family situation and go from there. For example, if you have one or more underage, licensed drivers in the family, the chances of an at-fault driving accident is greatly increased based on readily available statistics. Think about your financial exposure if you or a family member hits an object in the roadway at highway legal speed, loses control slightly and subsequently rear-ends another vehicle, injuring one or more passengers. This happens everyday. A policy with minimum liability limits could easily be exhausted, possibly leaving you exposed to paying the rest of the claim out-of-pocket. Your personal assets could be easily exposed in so many similar situations. Family budgets are tough to control at times, with insurance costs often a big factor. However, think about potential exposure of personal assets.
Talk to several independent agents to discuss such matters in terms of needed and recommended insurance limits.
“How much coverage would you want the person to carry if they injured you or your family or damaged your property in a car accident?”
If you cause an accident, injure family members riding with you and are from a state permitting intra-family suits, how much coverage would you want available to pay for their injuries?
And of course, how much do you stand to lose? What is your net worth, the value of your earning power, and/or the value of your personal integrity?
None of these methods will lead you to the perfect limit but they are the considerations I would suggest one think about when selecting the appropriate amount of insurance. In addition, I always suggest your uninsured/under-insured motorists coverage (the one that covers you, your family
and possibly the passengers in your car in case the other car is not insured or poorly insured) be consistent with the coverage you carry in case you hurt someone else.
However if none of these considerations apply, one must always be aware of the minimum limits required by most state laws.
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Talk to several independent agents to discuss such matters in terms of needed and recommended insurance limits.
“How much coverage would you want the person to carry if they injured you or your family or damaged your property in a car accident?”
If you cause an accident, injure family members riding with you and are from a state permitting intra-family suits, how much coverage would you want available to pay for their injuries?
And of course, how much do you stand to lose? What is your net worth, the value of your earning power, and/or the value of your personal integrity?
None of these methods will lead you to the perfect limit but they are the considerations I would suggest one think about when selecting the appropriate amount of insurance. In addition, I always suggest your uninsured/under-insured motorists coverage (the one that covers you, your family
and possibly the passengers in your car in case the other car is not insured or poorly insured) be consistent with the coverage you carry in case you hurt someone else.
However if none of these considerations apply, one must always be aware of the minimum limits required by most state laws.