Auto Insurance O Fallon MO
Located between Hwy 64 and 70, O Fallon MO is an excellent place to live. With great School Districts, excellent parks and recreation and terrific restaurants, O Fallon MO is a great place to raise a family and retire.
Whether you are driving to work or out for fun, it’s very that important that you have the right protection in place if an accident does happen.
In particular, having adequate Liability Limits to protect yourself and your family can not be emphasized enough.
What is Auto Liability Coverage
If you are Liable for an accident, Liability Coverage will pay for the other person's loss (Property Damage and Bodily Injury).
If a significant accident does occur, the cost of the claim can add up very rapidly, since it may include the cost of:
- Medical Care
- Loss of Work and
- A Settlement
When an accident occurs that has the potential for a large payout, the Insured will receive a letter from the Insurance Company indicating that they have accepted liability, but “you are responsible for anything that cannot be resolved within your limits.”
Simply stated, this means that after the Insurance Company has paid the limits of the policy, the Insured is on their own to cover the difference. At that point their assets are at risk including potential for wage garnishment if they do not have the assets to pay the difference.
Receipt of this notice from the Insurance Company, can be very unsettling for Insureds’ with adequate limits, however it can be devastating news for drivers with low liability limits.
What are Split Auto Liability Limits:
With Split Limit Liability Limits, 3 separate dollar amounts will apply to each accident:
- Bodily Injury Liability Per Person Limit:
- This is the most policy will pay for Bodily Injury to any one Person
- Bodily Injury Per Accident:
- The Most the policy will pay for Bodily Injury to multiple people (but still not more than the per person limit to each individual)
- Property Damage:
- The most the policy will for the Property Damage to others
Combined Single Limit:
A combined single limit policy provides a single limit of Liability for Bodily Injury and Property Damage that results from a claim, rather than the separate limits of a Split Limit policy. For lack of a better term it could be said it is like a pot of money that can be used to cover claim expense and settlement.
Uninsured Motorist Coverage:
This is Protection for Drivers who are struck by an Uninsured Motorist.
If someone has an accident and they are not at fault, under normal circumstances, they could reasonably expect the at fault drivers Insurance Company will cover their Medical Expenses if they are injured.
However, if someone is in an accident with an Uninsured driver (estimates indicate about 14% of MO drivers), their Uninsured Motorist Coverage will pay for damages they could reasonably expect to recover from the Uninsured Driver because of Bodily Injury.
It is important to note that in Missouri, this only refers to Bodily Injury only and not Property Damage to your vehicle. If you have Collision Coverage for your vehicle, you can make a claim for the damage to your vehicle, caused by an Uninsured Driver. You will have to pay your deductible.
Is similar to Uninsured Motorist Coverage – this coverage will apply when a driver is in an accident with a driver that has limits that are too low to cover bodily injury expenses.
Both Uninsured and Underinsured Motorist Coverage are subject to policy limits.
Physical Damage Protection
Collision Coverage: If you are an in an at fault accident or involved in an accident with an Uninsured motorist, Collision Coverage will cover the cost of repair or the actual cash value (replacement cost less depreciation) to replace your vehicle if it is totaled.
Comprehensive coverage: Covers the cost to repair or replace your vehicle if there is damage caused by something other than collision. Common comprehensive claims include:
- Collision with an Animal
What is an Auto Insurance Deductible:
The deductible is the amount the Insured will pay for a claim and it pertains to Comprehensive and Collision Coverage only (a deductible does not apply to Liability Coverage).
Using the example of an Insured that has a $500 deductible and an accident with repairs costs of $5,500:
- The Insured will pay $500 of the cost to Repair and
- The Insurance Company will pay $5,000.
Is Comprehensive and Collision Coverage required:
Drivers are required to have Liability Auto Insurance in O Fallon MO (as required of any driver in the state of MO). Missouri only requires Liability Coverage, Physical Damage (Comp and Collision) Coverage is not required.
However, if you have a loan on your vehicle, the lender will require you to have Physical Damage coverage. If you do not, they will place forced insurance on your vehicle and charge you accordingly (commonly added to your monthly loan payment).
The forced Insurance will not include Liability Coverage, they are only concerned about protecting their interest.
Contact us today for a quotation for your Auto Insurance