Why Liability Coverage Is More Important Than You Think

When people think about car insurance, they often focus on what happens to their own vehicle. But liability coverage—the part that pays when you're at fault for hurting someone else—is actually the most important piece.

What Liability Coverage Does

If you cause an accident, liability coverage pays for:

• **Bodily injury:** Medical bills, lost wages, and pain and suffering for people you injure
• **Property damage:** Repairs or replacement of vehicles and property you damage

Without adequate liability coverage, you're personally responsible for these costs. And they can be enormous.

Why Minimum Coverage Is Risky

West Virginia requires minimum liability coverage, but those minimums haven't kept up with reality. A serious accident can easily result in medical bills exceeding $100,000—sometimes much more.

If your coverage maxes out at $25,000 per person and you cause $150,000 in injuries, you're personally on the hook for $125,000. That can mean:

• Wage garnishment
• Liens on your property
• Drained savings accounts
• Bankruptcy

How Much Do You Need?

We generally recommend liability coverage that protects your assets. Consider:

• Your home equity
• Savings and investments
• Future earning potential

A good rule of thumb: your liability coverage should at least equal your net worth. If you've built significant assets, an umbrella policy adds an extra layer of protection at a reasonable cost.

The Umbrella Option

An umbrella policy provides additional liability coverage—typically $1 million or more—that kicks in after your auto or home policy limits are exhausted. It's surprisingly affordable, often just a few hundred dollars a year for $1 million in coverage.

Not sure if your current limits are adequate? Let's review your coverage together. Protecting what you've worked hard to build is exactly why we're here.