How much liability coverage do you think I need if I don't have a lot of assets?

Is 25/50/10 enough liability coverage for someone without many assets? Should I increase it?

Answer
“It is a common misconception that you do not need higher liability coverage limits if you do not have many assets. You can still be liable for damages in excess of your assets.
For example, let say you don’t own your home and you have only $1,000 in your savings account. Then you cause an accident and total someone’s vehicle that has a value of $55,000.
Your insurance will only pay $10,000 in property damage. The rest will come from your pocket and future earnings in life.
You might be surprised by how little your premium will change if you increase your liability coverage limits. Most claims, excluding more catastrophic accidents, would be sufficiently covered with liability limits of 100/300/50.”
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Shannon Martin
Answered on Apr 29, 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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