Is Minimum Car Insurance Coverage Enough to Protect You In An Accident?

We all know that in order to drive a vehicle in the Commonwealth of Virginia, we must have car insurance. Currently, the minimum amount of insurance that a Virginia driver must have is $25,000 for the injury or death caused to one person, $50,000 for the death or injury of two or more persons and $20,000 for property damage. Virginia drivers also have the option of not insuring their vehicle by paying an Uninsured Motor Vehicle (UMV) fee of $500 to the Virginia Department of Motor Vehicles.

Choosing to purchase only the state-required minimum amount of insurance or opting out all together may save you a few dollars in the short-term but it could also mean risking severe financial hardship in the future. Accidents happen. Even the most careful and attentive drivers may find themselves liable for an automobile accident that occurred because of conditions that were beyond the driver’s control.

Drivers need to carefully assess whether they can afford to risk their financial future when purchasing car insurance. If you are found to be at-fault for an accident that produces a $100,000 judgment for an injured plaintiff and you only have $25,000 worth of insurance coverage, you could be on the hook for $75,000. Similarly, drivers who elect not to purchase uninsured motorist coverage or comprehensive insurance may be out of luck if they are struck by a hit-and-run driver, collide with a deer or have their car vandalized or stolen. In many cases, Virginia drivers can better protect themselves and other drivers on the road by paying out a few additional dollars each year for adequate coverage.