Choosing the right auto insurance for your needs can be difficult, especially when you don’t understand the meaning of some of the insurance types. Working with any of the insurance agents at Baldwin Woodville Insurance Services is a great way to make sure you find the insurance that works best for your particular situation, but that doesn’t mean you shouldn’t feel confident going in. Understanding your insurance options is a great way to prepare for a meeting with your agent. There is no definitive answer as to what the right auto insurance is, but you can work with your agent to find what’s best for you.
Liability
Liability coverage is required for all drivers in Wisconsin. This insurance will pay for any damages to another driver that you cause in an accident. Because Wisconsin is not a “no-fault state,” the person at fault must be determined at every accident. You don’t want to wind up being the one at fault and having to pay your damages in addition to the damages to the other cars involved.
Liability insurance protects you from having to pay out of pocket for pricey repairs to other’s vehicles. Liability is as much for you as it is for the drivers surrounding you.
The state of Wisconsin requires all drivers to have a minimum liability coverage per accident for $25,000 for injury or death per person, $50,000 total for injury or death to multiple people in a single accident, and $10,000 for property damage.
Collision
We all make mistakes, and collision coverage is there for you when it happens. Collision coverages pays for damages to your car, even when you are the “at-fault” party. This does not include storm damage or other impact damage. For that, look to comprehensive insurance.
Comprehensive Insurance
Comprehensive coverage takes care of most other damage that happens to your car. While another person’s liability will cover damages when they’re at fault, and collision will cover damages when you’re at fault, comprehensive covers damages that are out of your hands. This can include various incidents such as vandalism, theft, hitting an animal, and natural disasters. However, comprehensive typically does not cover freezing or breakdown damage.
Uninsured/Underinsured Motorist Coverage
Unfortunately, not everyone gets the best liability coverage. If a driver damages your car and they don’t have or don’t have enough of liability coverage, then you may not be able to get the payout you need to fix it.
Uninsured/underinsured motorist coverage protects you if you’re struck by an uninsured or underinsured vehicle. This coverage begins to work when your damages and costs go beyond the limits of the at fault driver’s liability coverage. Depending on your plan, it can also pay for medical expenses and lost wages.
In Wisconsin, you must have a car insurance policy that meets the minimum coverage requirements per accident of $25,000 for injuries per person and $50,000 for total injuries per accident.