Do you know exactly what your auto insurance policy covers? Or how much you would have to pay in the event of an accident? Don’t worry if you’re not sure! Most people don’t know the ins and outs of their policy. In this blog, we examine the basics of auto insurance—including the different types of insurance needed, the minimum required coverage amounts and the ways we can make sure you’re getting the best coverage for the best price.
Let’s start with the basics. Massachusetts drivers are required to have four separate types of required auto insurance with individual minimum coverage amounts. It’s important to note that minimum coverages are relatively low and may not cover the full cost of an accident depending on the extent of injuries or damage—meaning you would be responsible for all costs above coverage limits. Required coverage includes:
Bodily Injury to Others
This is designed to help cover injuries and medical expenses for any party the driver harms in an at-fault accident. (minimum $20,000 per person and up to $40,000 per accident)
Personal Injury Protection
Regardless of fault, this category is designed to cover medical expenses, funeral expenses and lost wages as a result of an accident. (minimum $8,000 per person, per accident)
Damage to Another Person’s Property
This can help cover repairs for property (including other vehicles) that the insured damages in an accident. (minimum $5,000 per accident)
Bodily Injury Caused by Uninsured Auto
This segment helps cover your related medical expenses if the other driver does not have insurance or is unidentified (hit-and-run). (minimum $20,000 per person and up to $40,000 per accident)
Additional Coverage Options
You can add to these four basic areas of auto insurance with both collision and comprehensive coverage. Collision covers damage to your vehicle in the event of an accident and comprehensive coverage can protect against other damage or events, such as theft, vandalism, animal accidents or acts of nature. While the state of Massachusetts does not require collision and comprehensive coverage, it may be required as a condition of your car loan or lease.
Dowd is Ready to Help
Our experts will evaluate your specific requirements and recommend coverage and discounts matched to your needs. We’ll be sure to work alongside you, so you understand every aspect of your coverage. We know every client is different; contact us today to create a plan that gets you the best coverage at the best price.