Going Cheap on your Car Insurance Could Mean You Pay More in an Accident

 Posted on February 22, 2016 in Personal Injury

When money is tight, it can be tempting to look for any way possible to lower your expenses. But, when it comes to your car insurance if you try and lower your premiums by eliminating some of your coverage, you may end up costing yourself money if you get into a car accident.

Personal Injury Protection (PIP)

Personal Injury Protection, or PIP coverage, as it is often called, is not required in California. If you have PIP, when you, or one of your passengers, is hurt in a car accident, your medical bills will be paid by your car insurance. PIP coverage may also pay a portion of any missed wages. It does not matter who is at fault for the accident. The PIP benefits, however, are not open ended. PIP will only pay out for a set period of time and up to a set amount of money. But, if you do not have PIP coverage it can be harder to get the medical treatment you need for your injuries.

Uninsured and Underinsured Motorist Insurance

When another driver injures you because of their negligence, you have a right to bring a claim for damages against them. But, if that driver does not have car insurance, or they do not have enough insurance to pay all your damages, you may be out of luck. When you have uninsured and underinsured motorist coverage, your insurance will pay your damages if the at-fault driver does not have adequate coverage.

Collision Coverage

The law requires all drivers to have liability insurance. This is insurance that covers damage you cause to another person or vehicle because of your negligence. It does not cover damage to your own car. If you are involved in a car accident and you only have liability insurance, even if you are not at fault for the accident, it can take a long time to reach a settlement that lets you get your car repaired or replaced. If you are at fault, you will have to pay for the repairs out of your own pocket.

When you have collision coverage, you can take the car into the shop right away and have the damages paid for by your insurance company. If another driver was at fault for the accident, you or your insurance company can seek to have the costs of the repair reimbursed. Collision coverage, uninsured and underinsured motorist coverage, and PIP coverage may add money to your regular car insurance premiums, but they may also make all the difference if you get into a car accident.

If you have been involved in a car accident you need an experienced San Jose personal injury attorney right away. Call the Law Office of John J. Garvey, III today at 408-293-7777 to schedule a consultation.

Source:

http://www.leginfo.ca.gov/.html/ins_table_of_contents.html