| Most states require drivers to carry some kind of | | | | by the accident. These damages include the medical |
| auto insurance before they will issue a car | | | | bills and lost wages of the person you injured. The |
| registration, so it is a policy you cannot avoid if you | | | | person can also sue for pain and suffering if you live |
| own a car. The lingo of car insurance can be | | | | in a state that assesses fault for accidents. If you kill |
| particularly difficult to understand, but it is worth | | | | someone, you may also be responsible for the loss |
| learning if you don't want to pay excessive premiums. | | | | of income to the deceased person's family. Most |
| The first principle of car insurance is that your policy | | | | states require that you carry a minimum amount of |
| covers a specific automobile. That means you are not | | | | bodily injury liability coverage-usually between $15,000 |
| covered when driving other cars, such as your | | | | and $25,000. If you own a substantial amount of |
| cousin's jalopy, unless your policy specifically includes | | | | property and earn a regular income, obtain far more |
| them. In addition to potential damage to your car | | | | coverage than the minimum. Because potential |
| itself or injuries caused by your car, your policy also | | | | liabilities are enormous, coverage for at least |
| insures the people who drive or ride in the vehicle. | | | | $100,000 per individual you harm and $300,000 for |
| Mainly, your auto policy covers you and your family. | | | | each accident you cause would not be excessive. |
| However, if you give someone else permission to | | | | Property damage. This liability insurance covers any |
| drive your car, such as a friend or relative, he or she | | | | damage that you cause to another person's property |
| also is covered by your policy. | | | | by driving negligently. This may include damage to |
| Your auto insurance is really several kinds of | | | | another car or other property, such as a fence or a |
| coverage combined in one policy. The primary | | | | tree. Because it is usually less expensive to damage |
| components of coverage are bodily injury, property | | | | property than to injure people, property liability is |
| damage, collision, comprehensive, medical payments, | | | | cheaper and generally purchased in smaller amounts. |
| personal injury, and uninsured or underinsured | | | | Most states require a minimum of $5,000 to $25,000 |
| motorist. A brief explanation of each follows. | | | | in coverage; however, you should probably obtain at |
| Bodily injury. If you hit someone with your car and | | | | least $25,000 worth because today's cost of repairing |
| cause injury or death because you were driving | | | | cars is extremely high. |
| negligently, you must pay for the damages caused | | | | |