Purchasing personal auto coverage?
Here’s what to look for!
Automobile insurance is mandatory in Xenia, Ohio as required by Ohio Financial Responsibility Laws. Evidence of insurance is required to be shown at the time of an automobile incident (that insurance card you carry with your registration). Current minimum limits of liability insurance in Ohio are $25,000/$50,000 for bodily injury and $25,000 for property damage.
The following are important considerations:
ELIGIBILITY FOR PERSONAL AUTO (PAP) COVERAGE:
– Vehicle(s) must be titled to you or resident members of your household
– Leased vehicles must be on a long-term lease (usually 6 months or longer)
– Vehicles must have 4 wheels or be insured under a separate endorsement covering Recreational type vehicles; i.e. motorcycles, motorhomes, ATV’s, etc…
WHAT COVERAGES SHOULD YOU CARRY?
LIABILITY INSURANCE – Provides you limits of insurance in case you cause bodily injury (BI) to others and damage to their property while operating your vehicle(s) and they sue you for these damages.
UNINSURED MOTORIST (UM) INSURANCE – Provides bodily injury liability insurance for your injuries caused by others and they do not carry the required insurance. Approximately 25% of Ohio drivers are not insured despite the law in place.
UNDERINSURED MOTORIST (UIM) INSURANCE– Provides bodily injury liability insurance for your injuries caused by others and the limits of liability they carry are not sufficient to pay for your injuries.
MEDICAL PAYMENTS – In automobile insurance Medical payments are paid to you and occupants of your vehicle.
PHYSICAL DAMAGE INSURANCE – Provides coverage for damages to your automobile(s) and includes a deductible amount that you are responsible to pay for each accident.
– Deductibles are selected by the policy owner and should reflect the amount of money you could pay out-of-pocket should damage to your vehicle occur.
WHAT LIMITS FOR LIABILITY AND UM/UIM INSURANCE SHOULD YOU SELECT?
How much liability insurance is enough? We do not know how much people will make claim against us when we accidentally injure them or damage their property, law suits can make you responsible for large sums of money when you are determined at fault.
It is prudent to purchase as much limits as you can afford. Most insurance companies offer coverage up to $1,000,000. You will be protected for injuries to others or damage to their property up to the limits of liability for each accident you may become involved in.
WHAT COVERAGE DOES THE PERSONAL AUTO POLICY PROVIDE FOR NON-OWNED AUTOS?
Your personal auto policy provides coverage for vehicles you rent or borrow for the same coverages you have for your owned autos.
When renting cars you should consider purchasing the Collision Damage Waiver (CDW) from the rental company. When you buy this coverage it will provide comprehensive and collision coverage with no deductible. In addition, if you are involved in an accident with the rental auto the claim will not go against your auto policy.
If you do not have physical damage on any of your owned autos you need to purchase the Collision Damage Waiver (CDW) from the rental company.
The insurance professionals at Greene County Insurance will access your situation and assist you in selecting the proper coverages to fit your needs.