Liability coverage protects you financially if you were to hurt someone or damage their property (usually their car). If you run out of liability coverage, your assets (including the equity in your home) and future earnings are put at risk. We recommend auto insurance policy liability limits of at least $250,000 per person, $500,000 per occurrence, and $100,000 for property damage (but are also respectful of budgets). This would cover the vast majority of accidents, and help to prevent a situation where you run out of liability coverage and must pay out of pocket.

Underinsured motorist coverage provides coverage for your vehicle and for medical expenses, lost wages, and pain & suffering if you were hit by someone that was uninsured or underinsured. Estimates are that about one in five drivers in Washington are uninsured, and many more are underinsured (carry low underinsured motorist limits.) You might have good health insurance, and you might even have disability insurance, but it is rare for someone to have coverage for pain and suffering outside of a car insurance policy, and most would want ample compensation if they were, say, permanently disabled by an underinsured driver. We recommend underinsured motorist bodily injury coverage limits of at least $250,000 per person and $500,000 per occurrence, but are also respectful of budgets. Underinsured motorist property damage coverage limits are based on the value of your most expensive vehicle.

Medical expenses are already covered under your health insurance. There is also a wage replacement benefit of either $200 or $700 per week, but you may have disability coverage that offers more coverage. It is important to note that if you are struck by another vehicle, medical expenses and lost wages will be covered by their auto insurance liability coverage or your underinsured motorist coverage. We consider personal injury protection to be optional for those with good health insurance, especially if they also have disability insurance.

Comprehensive covers your vehicle for just about everything outside of a collision, including theft, vandalism, fire, falling objects, glass damage, and car accidents with animals. Many choose a lower comprehensive deductible on their car insurance policy since these incidents are out of your control and comprehensive coverage is relatively inexpensive.

Collision coverage covers your vehicle after an auto accident. It is important to note that if you are struck by another vehicle, your vehicle should be covered by their liability coverage or your underinsured motorist coverage. Therefore you typically only pay your collision deductible if you cause the accident, and for that reason, many choose a higher deductible on their auto insurance policy in order to lower the premium.

Rental car coverage pays for a rental car after a car accident or after your car is stolen (not if your car breaks down.) Car insurance policies often offer daily dollar and duration coverage limits. Choose a coverage limit based on the cost of the rental car you might need.

Lock your keys out of your car? Run out of gas? Get a flat? Car break down? This is all covered by towing coverage. Auto insurance policies typically have a towing coverage limit, however some insurers will pay more if necessary. Some auto insurance companies pay the towing company directly, and some will ask you to pay, and later reimburse.