It is required by law here in Pennsylvania, as well as all of the other forty-nine states, to carry liability insurance on your automobile policy. Every state has a minimum amount of coverage you must obtain to drive legally. In this state it is 15,000, 30,000, 5,000. The Strock Insurance Agency is the first to admit that these figures are way too low and need to be raised to protect their customer’s assets. For the sake of argument consider a policy with the figures of 100.000, 200,000, 50,000. What do these numbers mean? The first two numbers are related to the amount of medical expenses your policy would pay in the case you were listed as the driver at fault in an accident. Since it was your fault, you would be”liable” for damages.
This is how your Auto Insurance Lebanon PA would settle a claim. The first figure, 100,000 is the dollar amount they would pay out to a single individual for medical expenses. The second figure, 200,000 is the dollar amount Auto Insurance Lebanon PA would pay to all parties injured in the accident. If three people were injured, that is the total amount that they would be responsible for. Anything over that would be your responsibility. The final number, 50,000, is the maximum dollar amount they would pay for any property that you have damaged. In most cases, it is the other persons vehicle that you struck. It would also pay for your neghbor’s mailbox that you backed into getting out of the driveway this morning. These three figures in no way apply to damage to your vehicle.
Now that it has been explained, you can see how much of a gamble you are taking with just carrying minimum coverage. Obviously, the higher liability coverage you have the higher the premium is going to be. Experts suggest you look over your policy and see if those three numbers make you feel uncomfortable. If they do, then it’s time to contact your agent and discuss alternatives. He or she can give you quotes using a variety of scenarios that take into account your assets as well as your ability to have a affordable premium.
