Should my auto insurance liability limits match the value of my assets?
I have FL state-minimum liability coverage. I am worried that I do not have enough coverage, but I do not have any assets besides my clothes and my car. I live in an apartment with four roommates and everything we have is used and old.
“It is reasonable to assume that if you have the minimum coverage limits required, then you do not have enough coverage.
Regardless of the current value of your assets, you should only have minimum liability coverage limits as a last resort.
While some argue that there is inherent risk to everything, and they are willing to accept that risk, if you have the means to increase your limits beyond the value of your assets, you should do so. The insurance company will only ever pay up to the coverage limit of your policy. When this limit is exhausted, you are responsible for the rest.
If you want to get liability coverage at an affordable price, the free Jerry app is a good place to start. A licensed broker, Jerry does all the hard work of finding the cheapest quotes from the top name-brand insurance companies and buying new car insurance. Jerry will even cancel your old policy for you.
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