½ mi. south of Hays High School on FM 2770
Auto - Home - Life
Agent
(512) 504-9484
Proudly serving Kyle, Buda, Austin
and Surrounding Areas...
|
Part 1 - Liability Coverage. If you look at the "Declaration" page of your auto insurance policy (usually the first page of the policy after a cover letter), you're likely to see a string of numbers that looks something like this: "25/50/25" under "Liability Coverage". What is Liability Coverage? This refers to the amount of insurance protection that you have for another person's vehicle in the event of an "at fault" accident (an accident that you caused and for which you are legally and financially liable for). How much liability coverage do you have? In the example we are using, the 25/50/25 string of numbers is an abbreviation for $25,000/$50,000/$25,000. The first $25,000 is the maximum amount of coverage you have for causing bodily injury to 1 person in an accident. You would be "on the hook" personally for anything more than $25,000. The middle $50,000 figure refers to the maximum amount of coverage that you have for all others involved in the accident - no matter how many people we're talking about. In other words, if there are 3 people injured in the accident, the maximum that would be paid by your insurance is $50,000. You would be "on the hook" personally for anything more than $50,000. The last $25,000 figure refers to the maximum amount of coverage that you have for causing property damage to others (their car or cars, as well as any other property that is damaged as a result of the accident - like trees, telephone poles, street signs, etc.). The above example of 25/50/25 Liability Coverage represents the current minimum amounts of coverage that the State of Texas requires you to carry in order to operate a motor vehicle (legally, anyway).
In today's world of frequent (and often frivolous) lawsuits and $50,000+ SUV's, I'm sure that you can easily see that the State Minimum for Liability Coverage is not nearly enough to protect you and your assets, in most cases. Think about this scenario: You are a typical, hard working Texas driver carrying the State minimum Liability Coverage of 25/50/25. One morning on the way to work you receive an important cell phone call from your boss. Rather than making the boss wait, you take the call and unfortunately fail to stop for a red light, colliding with a 2007 Chevy Tahoe SUV. The SUV then slides into 2 street signs, flattening them, before finally coming to rest in the water fountain of a landscape company's parking lot. What are the conservative estimates of the damages you could be facing in this situation (just for the other parties, not to mention yourself or your vehicle):
I'm sure by now you can see where I'm going with this. Believe me, the above scenario is not exaggerated nor uncommon. While it may not involve the same circumstances, we frequently see accidents where the person at fault is $40,000, $50,000 or even $100,000 underinsured in a major accident.
In Texas, we're proud of our big pickups and SUV's - and they carry a big pricetag - even without all of the bells and whistles. If you live and drive in Texas, you are simply gambling with your financial well being if you carry only the State Minimum Liability limits. The good news is that with Farm Bureau Insurance, you can carry more than adequate liability limits on your vehicle(s) and still get an affordable rate! The rates are even better if you have a good driving record and no "at fault" accidents on your claims history. We also offer many other discounts that can save you big bucks on auto insurance! Now that we have Liability out of the way, let's move on and take a look at the aspects of "Full Coverage" that are available... Parts 2 thru 4 - What is Full Coverage? |
Taking
the Mystery out of Your Auto Insurance Coverage... 
