Why Low Bodily Injury Limits in Auto Insurance Can Be Risky
When it comes to auto insurance, having the right coverage is essential for protecting yourself and others on the road. One area that many people overlook is their bodily injury liability limits. If these limits are too low, it can lead to serious financial consequences if you’re involved in an accident. At AEI Insurance Brokerage, we want to help you understand the risks of low bodily injury limits and how we can assist you in finding the right coverage.
What Are Bodily Injury Liability Limits?
Bodily injury liability coverage is part of your auto insurance policy that pays for injuries you cause to others in an accident. This can include medical expenses, lost wages, and even legal fees if you’re sued. Your bodily injury limits determine the maximum amount your insurance will pay per person and per accident.
What Happens If Your Limits Are Too Low?
- Out-of-Pocket Expenses: If your bodily injury limits are too low, you could be responsible for paying out-of-pocket for any costs that exceed your coverage. For example, if you have $25,000 in coverage per person, but the medical bills total $50,000, you would need to come up with the remaining $25,000 yourself.
- Legal Consequences: In cases where the injuries are severe, you could be sued for damages that exceed your policy limits. If you don’t have enough coverage, the court could go after your personal assets, such as your savings, home, or other property.
- Higher Premiums Later: If you’re involved in an accident where your insurance wasn’t enough to cover the damages, it could lead to higher premiums when you renew your policy or shop for new insurance. Insurance companies may view you as a higher risk.
- Stress and Financial Strain: Facing a large financial burden after an accident can be incredibly stressful. It can take a toll on your finances, credit score, and overall well-being.
Why Are People Shopping for Better Coverage?
Many people are realizing that their current bodily injury limits may not be enough to protect them in a serious accident. As the costs of medical care and legal expenses continue to rise, having adequate coverage is more important than ever. This has led many individuals to shop around for better policies that offer higher limits and more comprehensive protection.
How AEI Insurance Brokerage Can Help
At AEI Insurance Brokerage, we specialize in risk management, which means we’re dedicated to helping you find the right balance between coverage and cost. We can review your current policy, assess your risks, and recommend bodily injury limits that provide the protection you need without breaking the bank.
- Customized Coverage: We work with a variety of insurance providers to find policies that fit your specific needs and budget. Whether you’re looking to increase your bodily injury limits or want a complete review of your auto insurance, we’re here to help.
- Nationwide Service: While we’re based in New Jersey, we provide services to clients across the country. No matter where you live, we can assist you in finding the best insurance solutions.
- Ongoing Support: Insurance needs can change over time, and we’re here to support you every step of the way. If you have questions, need to adjust your coverage, or want to explore new options, AEI Insurance Brokerage is just a phone call away.
Having low bodily injury limits in your auto insurance policy can leave you vulnerable to significant financial risks. By increasing your coverage and working with a trusted insurance partner like AEI Insurance Brokerage, you can ensure that you’re properly protected. If you’re concerned about your current limits or want to explore better coverage options, contact us today. We’re here to help you navigate the complexities of auto insurance and find the right coverage for your needs, no matter where you are in the nation.