Auto Insurance Coverage for Injuries: Do You Have Enough?

When it comes to insurance coverage, most people check to make sure they have enough coverage to pay off their car if it gets totaled. They may even think about how much coverage they would need if they collided with a high-end vehicle and the accident was their fault. You’ve likely thought of all these things, but have you thought about how much insurance you need to cover the medical bills of those who may get injured in the crash? 

Minimum coverage for Lafayette, CO

By law, you are required to carry a certain amount of insurance for injuries. In Colorado, you must have a policy that will pay out at least $25,000 per person and $50,000 per accident. Keep in mind that this is only the amount that you need to drive legal. Medical bills often cost much more than state minimums, especially if you’re in a serious accident and there are multiple injuries. 

Rising Costs for Medical Care

Thanks to innovative safety features on modern vehicles, the rate and severity of injuries have actually decreased. However medical costs keep rising astronomically. The average claim per injured person in a car accident is about $15,500. Keep in mind that this number represents the average of both minor and major accidents. Medical expenses in a serious accident could be as much as $500,000. Fatal accidents can be even more expensive. 

How Much Coverage Is Enough

At the very least, you must have enough bodily injury coverage to meet the state minimum requirements. However, you should know that you may end up paying tens-of-thousands of dollars out of pocket if you only opt for minimum coverage. For example, if you have a policy that covers $25,000 per person and $50,000 per accident and you get into an accident where two of your passengers are injured. The first passenger has medical bills amounting to $45,000 while the second person’s bill only amounts to $5,000. You will still be responsible for anything over $25,000 for the first person. You will pay $20,000 in this scenario. 

If you’re not sure how much coverage you need, talk to an agent at 1st American Insurance Agency today. They will be more than happy to discuss your needs and find a policy that works for you. 

What is covered by standard homeowners insurance?

Homeowners in Lafayette, CO know that the uncertainties of living in the Front Range of the Rockies provide unique challenges to maintaining their homes. Sudden and volatile changes in the weather can cause unexpected and disastrous damage to your home. 

Has your basement ever flooded? Did you know that most homeowners policies don’t cover the damage caused by a sump-pump that can’t handle runoff water from a lot of snow melt?

In fact, most homeowners and renters policies don’t cover flood damage at all. You’ll need a separate policy for flood damage if you’re in an area with a high risk of flooding. 

Have you had a lot of snow this winter? Standard homeowners policies don’t cover the cost of repairing collapsed roofs or shrubbery damaged from the weight of snow, or from freezing.

If your pipes or appliances freeze and burst, you may not have coverage either for the damage to your pipes or the damaged caused to the infrastructure of your house when your pipes burst.

Often homeowners policies don’t cover landslides, mudslides, and avalanches – these could be common in the Front Range.

If your sewer backs up and causes damage to you home, this is not usually covered by your homeowner’s insurance policy or your flood insurance policy. You’re also responsible for maintaining the sewer lateral—the pipeline between your house, and the city sewer system. This is usually located on your street and can cost a fortune to repair.

If you’re worried that you don’t have enough insurance coverage for your home, speak with an independent insurance agent at 1st American Insurance Agency. They can go through your policy with you, and create a policy to fit your unique needs to make sure that you have the protection that you need for your home.