Is Auto Insurance Required?

Auto insurance is pretty cut and dry; however, there are still options available to you depending on your preference and on your state of residence. Liability insurance is required on your vehicles in all states. Liability coverage does not protect the insured’s vehicle or passengers but it does protect the policy holder from suffering a large financial loss when they are legally responsible for another parties bodily injury or property damage because of an auto accident.

The state of Kentucky only requires auto owners to carry liability limits of 25/50/10.  This means to be legal you need at least:

$25,000 Bodily Injury Liability per person | $50,000 Bodily Injury Liability per accident| $10,000 Property Damage Per Accident

Although these are the minimum limits, it doesn’t mean that they are sufficient to cover incurred expenses. Many auto accidents incur much more expense than these minimum limits. Therefore, we never recommend only acquiring the minimum limits. Remember the main goal of insurance is to protect against catastrophic loss.

In addition to liability insurance, many insureds also purchase comprehensive (or Other Than Collision) and collision coverages to cover physical damage to their own vehicle. Other desired insurance coverages include personal injury protection, uninsured/under insured motorist, towing and rental. We will provide more on these topics in a later blog post.

If you are a resident of Paducah or Western Kentucky, you can contact Bradshaw & Weil, Inc. for a full review of all these coverages and our personal recommendation of insurance options to fit your own situation.

 

A Basic Guide To Your Homeowner’s Insurance

Bradshaw & Weil, Inc. is your partner for home insurance in Paducah, KY. If you are in the market for a new home then you undoubtedly know the importance of insurance before your purchase is complete. Many people do not appreciate insurance because they do not understand it. They just want the best price. Our commitment to our clients is to help them understand the benefits of their policy and ensure they are properly covered while hopefully saving them money in the process.

Part 1- Your Structure

Coverage for things you own (property)

A- Dwelling
B- Additional Structures (or Other Structures)
C- Personal Property
D- Additional Expenses (or Loss of Use)

Coverage A- replacement cost of your dwelling is calculated using the construction features of your home and represents the cost to rebuild from the ground up. Coverage B, C, & D are automatically calculated percentages of Coverage A. They can usually be increased if you have more value in those areas but not decreased.

Coverage B-refers to structures on the premises that are separated from the dwelling by clear space (think detached garage, in some cases a fence, etc.).

Coverage C-refers to personal belongings such as clothing or furniture.

Coverage D– refers to expenses related to maintaining the insured’s normal standard of living when their home has become uninhabitable due to a covered loss.

If you are wondering why the number you see listed beside Coverage A is higher than what your bank or realtor is telling you, then read our next blog post, “Why Is My Coverage A So High?”

Part II

Coverage for things you do to others (liability)

E- Bodily Injury and Property Damage Liability
F- Medical Payments to Others

Coverage E– for someone to collect payment the insured would have to be found negligent and legally obligated to pay damages for bodily harm, sickness, disease, or physical injury to or destruction of tangible property.

Coverage F pays only necessary medical expenses that caused bodily injury. The insured does not have to have been negligent.

Contact us today to talk with an agent about your limits of insurance.