Hello everyone Casey Kendel, Prosperity North Advisor is a Kendel insurance agency protecting your prosperity
Welcome to auto insurance 101 today we're going to talk about liability in other videos we're going to break it down and really see what is behind the policy and how it works for you so let's start with auto insurance liability
We're going to do this by the numbers so you'll see different numbers within your coverages and I’m going to use the example of a hundred three hundred and one hundred um, but you could have different uh coverages throughout you could have 250 500 250 you can have 50 150 you could have the Arizona state minimum which is 25 50 and 25. don't do this that's bad and I’m going to actually make a separate video on why that's bad but that state minimum is going to leave you wide open for disaster and we're going to talk about that in a separate video
so let's break down what that first 100 is so that's a hundred thousand that includes your bodily injury in an accident that you have caused now that is going to cover passengers it's going to cover the other driver the other drivers passenger anybody that needs to go to see a doctor after care visit could be a chiropractor anything like that or the hospital they're going to be covered within that first hundred thousand so what's this the second uh three hundred thousand well that three hundred thousand is the maximum amount that the insurance carrier will pay out towards bodily injury in an accident that you have caused now this is in regardless to how many parties were involved it could be one it could be five the maximum they're going to pay out for that bodily injury to the passenger drivers and the other drivers in this example is three hundred thousand dollars that's your second number there so what's the last 100 well that's a hundred thousand in property damage now this could be the other party's car it could be the house it could be a mailbox anything that you've hit if you've damaged somebody's property so it's going to cover up to a hundred thousand dollars in that um what are some issues well when we think about the biggest issue that I see is absolutely under insurance and
Again, I’m going to make a separate video on this but if you have the state minimum you are leaving yourself wide open especially on that property side
so think about the average car the average car in the united states right now cost thirty eight thousand dollars if your property damage only covers twenty five thousand dollars you're on the hook for thirteen thousand dollars if you look at a very popular truck a ford f-150 you can't get a ford f-150 for less than 50 000 so if somebody is pulling out of the dealership and you hit them and you total that new truck well you've got twenty five thousand dollars now you're on the hook for another twenty five thousand dollars so don't be caught under insured
I’d invite you to stay tuned we talked about liability we're going to break that down even further and the coverages in that we're also going to talk about comp and collision as well as medical payments underinsured and uninsured motorists both on the bodily injury as well as property damage rental car uh roadside assistance how pricing is determined people don't understand how what are all the different aggregates that are brought in to uh determine the price so we're going to break that down as well as what's your deductible and how that can affect your rate again the state minimum versus oh what should you have uh and then the ever present should I insure my teenage drive? r and what does that look like the answer yes!
thank you very much for your time I appreciate you joining me if you have any questions, please leave them in the comments below please like subscribe share this video i look forward to hearing from you thanks very much have a great day