car crash

Coming out of a Crash: Why Car Insurance Is Important

There is just one state in the U.S. that doesn’t mandate car insurance—New Hampshire.

In spite of that, if you’re involved in a car accident in New Hampshire, you’re still responsible for damages up to $50,000 for liability and $25,000 for property damage. The other 49 states in the U.S. require drivers to carry a valid car insurance policy.

The primary reason? Liability. In the event of an accident, who’s responsible for damages?

Car Loans & Insurance

As of 2017, almost 44% of adults in America had car loans. Getting into an accident would mean a setback on your loan repayment plan as well. You barely manage to pay off your loans monthly; imagine having to pay for fixing your car after a crash too.

According to the state law, the culprit has to pay off the damage in a road accident; which means you will also have to pay for the victim’s car and associated medical expenses. The bank isn’t going to loan you again to pay for the crash expenses; you’re already in debt to them. This will also mean that you fall behind in loan repayment, running into a cycle of debt.

Don’t expect others to have sufficient Insurance

When a driver who is underinsured is the culprit in a crash, the sufficiently insured driver and their insurance company will have to pay off the damage.

Another interesting fact: 1 in 8 drivers are driving around an uninsured vehicle. The at-fault driver’s insurance company is required to pay off damages of the car crash.

data of uninsured drivers

Assume the worst from a Car Crash

While buying a vehicle, you should always consider the possibility of getting into an accident. An accident also means that you will have medical expenses, no matter how minor. A trip to the hospital can cost more than your monthly insurance premiums or, in absolute worst-case scenarios, more than the car itself.

Having car insurance will protect you by recovering damages on your car as well as your medical expenses.

We are Independent Insurance Agents FL; we strongly recommend investing in a comprehensive car insurance plan that can provide you with sufficient protection. Our process and Insurance Quotes FL will help you understand your needs and connect with different insurance companies that will cater to them!

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