Every state in the United States had fixed minimum insurance coverage limits for people driving vehicles. Indiana had set its own rules for minimum auto insurance coverage limits. In fact, the auto insurance laws are much stricter than most other states in US. Every driver must purchase a minimum bodily injury liability limit of $25,000 for each person and the total liability limit is $50,000 per accident, if more than one person is involved. The statutory minimum limit for property damage liability is $10,000. This coverage is known as 25/50/10 coverage.
All the vehicles should display the license number plate and the vehicle must be insured. Whenever the police officers wish to inspect your insurance policy or when you are produced in a court for traffic violations, you should have the auto insurance card with you. Further, according to Indiana laws, all new insurance policies should compulsorily include uninsured/underinsured motorist coverage, with a minimum limit of $50,000. Apart from the bodily injury liability coverage and uninsured/underinsured motorist coverage, a few other coverages would also be required to protect you in any accident. They are briefly presented here.
Collision Coverage
The bodily injury liability coverage and the uninsured/underinsured motorist coverage would help you to meet the medical expenses, wage losses, etc. However, they would not cover the repairs or replacement cost of the vehicle when you are involved in an accident. The collision coverage would help you claim the repair costs when your vehicle had been involved in an accident, even if you had been at fault. Further, the collision coverage would help you replace your vehicle if the insurance company declares the car as totaled. If the repairing expenses exceed 70% of the actual cash value of the car at current market rates, then the car would be declared as totaled. The insurance company would help you to buy another car by providing you the market value of the car that had been totaled in the accident.
Comprehensive Coverage
Certain incidents are beyond our control. Your car could be damaged or destroyed by acts of nature like fire, flood, and cyclone. You might hit an animal while driving or a stray animal might damage your car. Arson and looting by ravaging mobs could damage your car. Such incidents are termed as ‘Acts of God’ in insurance circles. The comprehensive coverage protects the damage to your car under such circumstances and helps you recover the damage to your car or even replace it. This coverage includes even the theft of your car by another person. You would be able to get back the current market value of the car.
Other types of coverages like medical coverage, basic reparation benefits, work loss coverage, loan/lease GAP insurance, accident death benefits coverage, could also be considered if you feel that the threat of accidents are more in your area of driving. However, the number of coverages that you purchase should be balanced with the financial burden that you would be able to afford every month for paying the premiums.
