As a driver, you need insurance protection not only to protect yourself but also others who may be involved in an accident along with you. If you do not understand how various insurance policies protect you and others, you may find yourself with problems if you are involved in an accident.
The attorneys at Barber and Associates, LLC are ready to help you if you are injured in a vehicle crash. However, they also advise their clients to carry the proper insurance coverage just in case another driver is not insured or there is a claim against the victim’s insurance as well.
Types of Insurance
In order to drive a car in Alaska, you must have proper insurance coverage. The state requires you to be financially responsible, including being able to pay for property damage and personal injury if you cause an accident. Alaska has some of the nation’s highest mandatory insurance coverage requirements, with drivers being required to carry a minimum of $50,000 in personal injury liability per person and $100,000 per accident as well as $25,000 in property damage.
However, that does not mean that everyone complies with the law. Uninsured drivers are very common and while they may be arrested and punished with criminal sanctions for failing to have insurance, that will not cover your medical bills or pay to fix your car.
Here are our recommended guidelines for your personal insurance policy on your vehicle. By carrying these amounts, you are more likely to be able to pay your own bills if you are hit by an uninsured or underinsured driver:
- Liability: $100,000 in personal liability coverage for every $100,000 of your annual income. If you make more than $100,000 per year, it is likely that you own property. If so, it is important that you protect it with higher liability limits. A very rough guide is for every $100,000 of income you make per year, you should have a similar amount of personal liability insurance.
- Property Damage: You should have enough property damage liability insurance to fix any car that you might hit as well as replace your own vehicle. $25,000 may be too low; if so, double it.
- Uninsured motorist coverage: It is absolutely essential that you take out this coverage in an amount equal to your liability coverage.
- Collision/comprehensive: If your vehicle is financed or you cannot afford to replace it, be sure to have full coverage.
The attorneys at Barber & Baker in Anchorage are ready to work with you if you are the victim of a car accident to insure that your own or the other driver’s insurance company pays your medical bills and other expenses. Call us today for a free consultation.