How to protect yourself financially in a car accident?
There is a lot to consider when you are seeking to protect yourself in the event of a car accident. With liability and insurance coverage to think through, it can be very overwhelming after a car wreck. It can also be very stressful trying to figure out how to remain financially sound after a car accident. The good news is that making sure that you are protected financially isn’t difficult. Following these simple steps can help give you peace of mind.
Protect Your Finances with the Proper Insurance
The best way to protect yourself in the event of an accident is to get the right type of auto insurance.
There are two kinds of coverage’s you can select when buying car insurance:
Liability coverage—Protects the people in a car accident that you are at fault for.
Uninsured/Underinsured motorist (UM) coverage—Protects you in an accident that you are not at fault for. It can be very beneficial to obtain UM coverage that is equal to the liability coverage you are paying for. Insurance companies may try to convince you to reduce the amount of UM coverage you purchase. It may sound like a good idea to save some money, as you will be reducing the price of your premium. However, you should think about this option before accepting it. While you may be saving a couple of dollars now, you could be losing thousands of dollars if an accident were to occur. Reduced UM coverage may not be enough to pay for all of the damages of an accident, leaving the rest of the expenses on your plate.
Medical Payments Coverage
Another important coverage option that you might want to consider is medical payments coverage.
Medical Payments Coverage covers medical bills related to any one in your vehicle even if you are at fault in a car accident. This extra coverage will not increase your premiums when you make a claim. It is simply there to supplement your existing or non existing health insurance. These small premiums are often less than $60 per year for coverage of $10,000. For such a small annual price, you can ensure that not only your medical bills will be paid for, but also the medical bills of the people in your car if an accident were to occur no matter who was driving.
Call Your Agent To Discuss Your Coverage Plans
Remember, insurance companies only have to compensate car accident victims up to the amount of their insurance coverage. If it isn’t enough, you could pay for an accident that wasn’t your fault, if you are not properly covered.
For example, if the person who causes the car wreck only has $25,000 in coverage and you have $50,000 in medical bills, you will have to find another way of paying for half of your bills. However, if in the same situation you had UM coverage for $100,000, you would get $25,000 from the other person’s insurance and your UM coverage would cover the rest of your eligible expenses.
If you have questions about your financial safety after a car accident, contact Melman Law Group at 770-365-7556 to learn more. Our attorneys can help you recover fair compensation.