Let’s Talk About Insurance: Conclusion

Over the past week we have talked about each type of auto insurance that can be purchased. Today we will go over a review of the types of insurance and give some scenarios when each kind of insurance will be in play. Generally it is a good idea to buy all 6 types of auto insurance and to purchase the highest limits that your family can afford.  It only takes one bad crash for you to wish you had signed up for better insurance. Here are the types of insurance we talked about:

1. Liability Coverage
   1. Bodily Injury Liability (BIL)
      1. Required by Colorado law
      2. Covers injuries of other party when you are at fault

• $25,000/$50,000 minimum

1. Property Damage Liability
   1. Required by Colorado law
   2. Covers property damage of other party when you are at fault

• $15,000 minimum

2. Collision Coverage
   1. Optional, but recommended
   2. Only available if liability and comprehensive coverage are purchased
   3. Covers your property damage from collisions regardless of liability
   4. Deductible applies
3. Comprehensive Coverage
   1. Optional, but recommended
   2. Covers property damage from non-collision events
   3. Deductible based
4. Uninsured motorist coverage (UM) and under-insured motorist coverage (UIM)
   1. Optional, but recommended
   2. Covers your damages from bodily injury if liable party is uninsured or under-insured
   3. Can only be purchase to match value of liability coverage
5. Underinsured motorist coverage (UIM)
   1. Optional, but recommended
   2. Covers additional medical bills if other party is underinsured
6. Medical Payments (MedPay)
   1. Optional, but recommended
   2. Covers you medical bills whether you are liable or not for a collision

Below are some possible scenarios where different types of insurance may kick in. Keep in mind every collision is different so broad rules do not always apply. There are of course hundreds of different types of collisions and the list below does not include all the combinations in which insurance can be applied, rather just some common ones. If you have been injured in a car accident you should contact an attorney. The attorneys at Franklin D. Azar & Associates are available 24/7 for a free consultation. Call today and we will fight to get you the compensation you deserve.