State law requires that you have at least a minimum amount of insurance for your vehicle. At a minimum, you must have a liability policy that covers three specific claim types. A standard liability-only auto insurance policy covers injury or death of one or more people and property damage. The state sets the lower limit on the amount of insurance that each driver must have but the actual costs to the driver may be higher if they are sued in civil court.
If you purchase a liability-only policy, you will be covered, up to your limits, for any injuries that happen as a result of an accident you cause. Your policy will list a coverage limit for one person and another limit for the maximum amount of medical expenses that will be for all injuries in one accident. Many liability-only insurance customers purchase more than the state minimums so their personal assets will be protected if they are in an accident where one or more people are seriously injured. These limits also apply to fatal accidents.
The other limits apply to property damage. The state minimum for property coverage is generally not enough to replace the other driver’s vehicle if you cause significant damage in an accident. However, with minimum coverage, your insurance will pay for repairs to the other person’s vehicle that you are responsible for causing. If damages exceed your coverage limit, you may be liable for the difference. For this reason, many drivers who purchase Car Insurance in Watsonville choose limits about the state’s minimum limit.
Liability-only coverage is typically the least expensive type of car insurance but it is important to know what is not covered before you sign on the dotted line. This type of coverage will not cover the costs to repair your vehicle after you cause an accident. If you are injured in an accident that you caused, your medical expenses will not be covered by your liability-only coverage. Many insurance companies offer additional coverage offer collision and medical payments coverage to pay for the at-fault driver’s expenses after an accident. For more information about Car Insurance in Watsonville or to get a quote for a new policy, contact Coast Auto Insurance Services Inc.