CAR INSURANCE FOR EVERYONE!

Why is car insurance so important and how much does a person need? This is a great question that you would probably get close to a thousand answers to if you were to ask a thousand insurance agents. Let's start with the first part of that question. Insurance is a product that is painful to buy, in fact, I'd rather buy a bucket of mud rather than spend money on insurance, at least at the end of the day I'd have a physical bucket full of mud to show for it. Insurance finds it's importance in a different dimension, it lives in a world of what ifs and maybes, but when needed it becomes so real it is painful.

Imagine driving down the road and you make a mistake by taking your eyes off of the road for a split second. You blow a red light and T-Bone a 2016 Bentley. Driving that Bentley is a world famous surgeon. Now no one is seriously hurt, but you managed to total the Bentley and crush the surgeon's right hand. Thank God no one was hurt. In this situation you are no longer thinking about that bucket full of mud, you are thanking God you have good car insurance. In fact, in this situation, you may also benefit from Umbrella Insurance, a product we will discuss in later posts.

So back to the accident at hand. Although nobody was seriously injured, this surgeon's career has ended. His hands are his bread and butter and now one is broken. There will no doubt be a lawsuit. Years of salary will be figured into the lawsuit, cost of the car replacements, who knows what else. Without insurance you would be absolutely ruined, it still may be depending on how good your insurance is and if you have enough of it.

This brings me to the second part of that question. How much does a person need. Well holy moly in this example I would say the max. When you really think about it the maximum makes the most sense, especially if you have a lot to lose like a big house and assets. The other side of the coin begs the question of how often will you be ramming a surgeon in a Bentley? You just never know.

To sum it all up the facts are you need to be smart about this. You don't want to lose everything in a lawsuit. It makes you think twice about getting those "just the minimum" coverage, but anything is better than nothing.