Am I carrying too much insurance on a five-year-old car?

My car is five years old and has the same limits now as it did the day I bought it. I have liability limits of 100/300/50 with matching uninsured motorist coverage and $1,000 deductibles. Am I carrying too much coverage?

“The limits of 100/300/50 are the most recommended coverage limits. The age of your car has little to no influence on the liability coverage limits you should carry on your car insurance.
The liability coverage should be determined by how much protection you need for your assets, things like your car, home, 401(k), and retirement plans. Your current limits work well for most people, but it is good to re-evaluate them from time to time.
The collision coverage and comprehensive coverage are what will change over time as your car gets older. A 2016 vehicle in good condition still has a lot of value left; seven model years old or older is where the car’s actual cash value starts to decrease more drastically.
At that point, you will want to determine if keeping collision coverage is worth it, and this decision is different for everyone. “
Shannon Martin
Answered on May 12, 2021
Shannon is an expert in personal lines liability insurance with 13 + years of insurance industry experience. She also served as a special insurance liaison to AARP members for 6 of those years. She is a graduate of UL Lafayette and currently resides in NY with her family. Shannon is also an amateur juggler, ukulele player, and is a time travel paradox theory enthusiast.

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