TOP THREE REASONS TO HAVE ENOUGH COLLISION COVERAGE
- If you crash into an expensive car, you will have enough to cover the repairs;
- If there are multiple cars involved, you will have enough coverage for the repairs to all;
- If you crash into an expensive vehicle and a block wall owned by the city you will have enough to cover repairs to the vehicle and the wall
What is liability collision coverage?
Often referred to simply as liability coverage, liability collision coverage covers the damage to other vehicles or personal property that you may destroy as a result of your own negligence. Insurance that is required by law is often referred to as liability insurance. However, liability insurance generally has two parts. The first part is liability for bodily injury that you could inflict upon another driver because of your negligence. The second part of liability insurance is for property damage that you could inflict due to your own negligence. These two coverages are bundled together and referred to as liability insurance. This blog is dedicated to the property damage portion of what is generally referred to as automobile liability coverage. Every state has a different minimum amount of property damage coverage required by law. In the state of Nevada, you are required to carry $20,000 in liability coverage for property damage. In the age of the obsession with high-end vehicles, $20,000 is a staggeringly low amount of money to cover property damage in the event of a major accident.
In the state of Nevada, if the cost to repair a vehicle exceeds 65% of its value, it is declared a total loss by state law and your automobile insurance liability carrier would be required to pay the fair market value of that vehicle. It is not difficult to see a situation where an automobile collision could result in extraordinarily high property damage — damages well over $20,000. It is also important to point out that liability collision coverage refers to collision coverage for other vehicles or property that are damaged as a result of your own negligence and it has nothing to do with your own vehicle. If you want to cover damages to your own vehicle because of an accident that was your fault, you need to maintain collision coverage. Collision coverage will be the sole topic of future blog. Collision coverage refers to coverage that you purchase to cover your own vehicle regardless of who was at fault if the vehicle is damaged in a collision. Collision coverage is not governed by limits. The only limit would be the full fair market value of the vehicle that is covered on the policy.
DETERMINING HOW MUCH LIABILTY COLLISION COVERAGE TO CARRY
Unfortunately, the need for how much liability collision coverage is much more complex. Nevada law only requires that you maintain $20,000 in liability collision coverage. However, picture this scenario. You are driving to work one morning, and you receive a call from your child who has forgotten his science project. You know that your child has worked on this project for the past three weeks and it will be 40% of their entire class grade. Although you are irritated, you want to help your child succeed and, in your haste to get home, you turn left in front of the vehicle oncoming and cause an automobile collision. To compound the situation, the car that hit you is a brand-new high-end vehicle. Even worse, the car spins into a traffic pole and becomes a total loss. If you are carrying minimum insurance limits, you are going to be personally liable to that driver for the damage to his vehicle. But — you think –lucky for you the high-end vehicle driver maintains her own insurance and she’s covered by her insurance company. Not so fast, it is not that easy. When the driver struck that pole, it caused damage to property which you are also liable to repair. Not surprisingly, the cost of the repairs to the pole are significant based upon the city’s pay scale. You are also liable for that bill. There are a lot of scenarios that would exceed $20,000 in property damage resulting from an automobile collision.
In the past, most people bought their insurance from an agent and they were able to sit down with someone knowledgeable about buying insurance and purchase the right coverage for their needs. In the world we live in, people are buying insurance online, often while multitasking and even making these major purchases in the wee hours of the morning. Although surfing Amazon in the wee hours of the morning and seeing the surprise that lands at your door two days later can be fun, (not that I have ever done that, LOL) purchasing insurance that way will not be fun following one of the scenarios previously discussed. This is a purchase you must put some consideration into.
Avoiding personal exposure.
The primary purpose, even the sole purpose, of maintaining automobile liability coverage is to protect you, your assets, and your family from personal liability in the event you are at fault for an automobile collision. The time to determine the amount of coverage you need is not the time that you are stepping out of your car to call 911. It is a decision that should be made with great thought and consulting with an insurance agent. I urge you to purchase your insurance from a reputable experienced casualty insurance agent so that they can discuss your family’s needs and assets to help you purchase the right coverage. At the law offices of TheOneLawyer.com, we have over 20 years of experience in litigating automobile insurance casualty claims and are happy to answer any questions you may have regarding what type of coverage you may need. We have seen thousands of scenarios over the years and can help you determine what coverages would best protect you and your family. Please do not hesitate to call us with any questions regarding insurance coverages. I highly recommend that you carry a minimum of $50,000.00 in liability property damage coverage and ideally you should have at least $100,000.00 in liability collision coverage.
By contacting a lawyer immediately, you can receive the most money for your injury claim. At TheOneLawyer.com we will quickly obtain the report for you. Having worked in the insurance industry as an attorney for 9 years before opening our boutique law firm specializing in helping injured people, I reviewed thousands of insurance policies. With extensive experience in the insurance field, I can help you review your injury claim and maximize the money you receive in your pocket after your bills and fees are paid.
At TheOneLawyer.com, we are here to serve our community and provide legal services in the Henderson and Las Vegas area. We are a boutique law firm providing experienced and personal representation to injured clients. At the Law Offices of Laura Payne-Hunt, TheOneLawyer.com we provide professional and personal service to each and every one of our clients on various legal matters and have over 15 years of experience in reviewing insurance policies and in Nevada insurance law. If you have a question regarding any type of personal injury or paying your medical bills from an accident, please do not hesitate to call the offices of TheOneLawyer.com and speak directly to attorney Laura Marie Payne-Hunt, Esq. a Henderson Injury Attorney for over 15 years. Laura is recognized as one of Nevada’s Top 100 Lawyers. She has the experience and knowledge to obtain the maximum settlement you deserve. Please call our office if you or a loved one is injured. We can make sure that you receive the care you need and deserve and advise on how to preserve evidence.
At our office, we are experienced in helping injured victims get the compensation they are entitled to. Insurance companies never have the best interest of the injured person at the top of their priorities. They want to pay as little on every claim as possible. Having worked for an insurance company as an attorney for 9 years before opening my boutique law firm specializing in helping injured people, I have reviewed thousands of auto accident claims and policy provisions.
At the Henderson and Las Vegas Accident injury law offices of TheOneLaweyer.com, Laura Marie Payne-Hunt and her staff are here to help you and your family in the event that accidents and tragedies occur. For any of your legal needs, do not hesitate to contact our Henderson and Las Vegas Accident injury offices. TheOneLawyer.com is a boutique, family-owned law firm that specializes in helping injured people and the community of Las Vegas and Henderson Nevada with legal issues involving auto accidents, wrongful deaths, slip and falls, truck accidents, injuries to children, bicycle accidents, dog bites, product liability claims, and all types of injury claims. Please do not hesitate to call us anytime you have a legal question or you or a loved one has sustained an injury at 702-450-(HUNT) 4868 and text 24/7 at 702-600-0032.