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If you are a driver seeking car insurance Dallas has a state liability insurance level of 20/40/15. This means that you must purchase minimum liability insurance cover of $20,000 to cover medical expenses for one person involved in an accident for which you were responsible, $40,000 worth of cover for the medical expenses for all persons injured in any one collision, and also $15,000 cover to pay for any damage to property, including walls, tress and the like.
The liability covers not only medical expenses, but loss of wages and personal compensation for the accident. You are not covered yourself by this policy, and Texas requires that you also buy cover for your own personal injury and also for any uninsured drivers that cause the accident and who cannot personally afford to pay the costs. However, you can avoid paying for the personal injury and uninsured motorist cover of you state so in writing.
In looking at the level of car insurance cover you think you will need in Dallas you have to consider whether or not the state minimum for the various levels of liability is sufficient should you cause an accident. If you are underinsured you will have to pay the balance yourself, and your assets can seized to pay for it. Only if you have no assets will the other driver have to claim on their underinsured driver’s cover. In making your decision keep in mind that from April 1st, 2008, the Texas state minimum liability rates increase to 25/50/25.
There are other types of auto insurance cover you can purchase in Dallas, though these are options, and whether or not you need them depends a lot on your circumstances such as the car you are driving. Keep in mind that the minimum car insurance in Dallas does not cover damage to or theft of your own car. If you have a brand new car, or even an older but very expensive model, you might feel nervous of the fact that your car is not covered. In such a case you have two options and you can take out either or both.
You can buy collision cover that pays for repair or replacement for your car up to its market value. This covers you irrespective of who causes the accident. However, keep in mind it covers only the market value, so is not worth paying for if you are driving an old car that would likely be totaled of it received a scratch! You should balance the premium you pay with the worth of the extra cover to you as an individual based on the value of your automobile.
You can also buy comprehensive cover. This covers you for any kind of damage to your vehicle caused in any way other than by a collision. Examples are theft, which could be important if you have a high profile high performance car, fire, vandalism and storms or flood damage. Again, you have to balance the cost against the value of your car and also the likelihood of any of these things happening. Such cover can be expensive, but if you can afford it and your car is expensive to repair, then it is likely worthwhile paying for – even if just for the peace of mind.
These are the basic options available to you. There are others, for example personal injury cover. The problem with the state liability minimum is that it does not include injury to yourself. This has already been discussed, and you know that you can put it in writing that you don’t want it. However, unless you have good general medical insurance, this sort of treatment after an automobile accident can be expensive. Especially if you are not paid while you are in hospital. Personal injury is an option you can take, as is also uninsured or underinsured motorist cover, again already discussed briefly.
If a motorist causes an accident and causes injury to you or your car, their insurance should cover your expenses. However, if they are not insuraned, or their level of cover is not enough to cover all the costs, they will have to pay for the costs themselves. If they have no money and no assets, then you are left to pay everything yourself. You have to judge the likelihood of this against the cost of the cover before making a decision.
Another aspect of your insurance is your deductible. It is possible to reduce your overall premium price if you opt for a higher deductible. This is what you elect to pay yourself before the insurance company pays anything. The higher this figure the lower your policy cost.
You should now have all the information you need to make a decision on what level of car insurance Dallas will need from you in order that you are covered sufficiently to meet your personal needs. If this is more than you budgeted, then opt for a higher deductible or remove one of the options. The deductible is a good way to budget to pay the repair costs you can afford and keep your initial premium costs down.
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