Many consumers these days are switching over to the liability insurance cover instead of the comprehensive cover and this is largely due the rough patches that consumers are going through post recession. Liability insurance cover will offer protection if you are involved in an accident with another car or another vehicle. This insurance will pay for the damages that are caused to the other vehicle that is involved in the crash as well as the injuries that are sustained by the individuals in the other vehicle. People have chosen this form of insurance to save some money and they are also holding on to their vehicles for longer periods of time, driving less, and dropping the comprehensive plan and collision coverage, all in an effort to cut costs. Even though this may help save 30% to 40% on the premium it is still not advisable as the liability car insurance cover will never suffice.
Liability also covers defense costs and lawsuits if you are sued, covers lost wages, medical bills etc apart from covering the other driver’s vehicle, injuries to the passengers in that vehicle. But since the liability car insurance has limits of less than $35,000 per head and $50,000 per accident there are chances that all the costs involved in the accident will not be covered and in that case you will have to pay the amount over and above that as well as pay for the damages and injuries that you or your vehicle sustains.
There are many other things that could happen to the vehicle other than an involvement in an accident such as running into a deer, or being caught in a hail storm, being a victim of vandalism etc. Even in case the vehicle is totaled and if there is nothing more than a liability cover then you get nothing out of it.
Being involved in an accident could cause serious injuries to you and your family and without adequate cover it wouldn’t be easy to pay the huge medical bills and even in case you are disabled after the accident you will get nothing.
Lastly, in case the vehicle is bought through financing or if the vehicle is on lease and if it is not purchased outright then the liability insurance cover will not be an option at all as it is mandatory to have a full or comprehensive coverage as part of the terms and conditions in the financing agreement.
