| "Thank You for taking such great care of our family. You not only saved us several hundred dollars over our previous insurance carrier but also made sure all of our insurance needs were well taken care of. When our niece needed automobile insurance at the last minute to purchase a new car, not only did you take the time to patiently educate her about insurance but you also waited over 2 hours after your normal business hours on a Friday night to make sure that she was able to take her new car home that day. You are not only an outstanding, dedicated insurance agent but a truly wonderful person. We look forward to a long insurance relationship knowing that we have you looking after us." | ||
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| "Here at Integrated Home Construction, we take our business very, very seriously. That’s why when it comes to our insurance needs, we turn to the best: the people of Shepard Insurance Agency." | ||
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We all know California law requires drivers to purchase automobile insurance. But have you ever considered what you're buying, and why? Understanding your auto insurance coverages is important so you can be sure you have the right coverage, and the right amount of coverage. Today we'll talk about Liability Coverage, and in future issues of the newsletter, we'll look at the other components of your auto insurance policy.
Liability Coverage is a required coverage in California and it has nothing to do with you or your vehicle. If you are at fault in an accident, it will pay for the bodily injury and property damage expenses caused to others in the accident, as well as any legal bills you incur. Bodily Injury Liability Coverage pays for medical bills and lost wages. Property Damage Coverage pays for the repair or replacement of items damaged other than your own car. The party you hit may also decide to sue you to collect “pain and suffering” damages.
If you’re interested in protecting yourself from a lawsuit, then it makes sense to buy more Liability Coverage than what’s required. The liability limits on your policy may be presented as a series of three numbers. For example, we might say that your policy carries liability limits of 100/300/100. This represents $100,000 for Bodily Injury Coverage per person, $300,000 in Bodily Injury Coverage per accident and $100,000 Property Damage Coverage per accident. Some companies offer combined single limits, where your bodily injury and property damage limits are included in one aggregate limit, with no sublimit per person.
If you cause a serious accident, your current insurance may not cover you adequately if your limits are low or at the minimum. If you own a home or have other assets or a savings account, you should consider more liability insurance because drivers are allowed to sue other drivers. And if your insurance does not offer enough coverage and doesn’t pay for all the damages, your personal finances are on the hook. It’s possible that you could become a target.
If you're not sure whether you have adequate liability coverage, we can review your policy and make recommendations appropriate to your situation. Call us at either office - Valencia, (661) 295-4624, or North Hollywood, (818) 508-9925 and we'll be glad to see where you stand.
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