Missouri Auto Insurance Information
A Missouri Auto Insurance Policy is a legal contract that protects your financial well being if you should have an accident. Although it is not required by federal law, the purchase of auto insurance is generally required in most states. Regardless of the law, it is wise to have a Missouri auto insurance policy to avoid potential costly lawsuits or immense repair bills. Since Auto Insurance is regulated by State Laws, it is important to know the Missouri Auto Insurance laws; and they are the same in all cities and towns. Thus, Chesterfield MO Auto Insurance is the same as Ballwin Auto Insurance, Manchester Auto Insurance, Creve Coeur Auto Insurance, and so on. Auto insurance policies generally have the following types of coverage.
While some of these types of coverage are required by state law, some are considered optional. They are: 1. Bodily injury liability 2. Property damage liability 3. Medical payments or Personal Injury Protection (PIP) 4. Collision 5. Comprehensive 6. Uninsured/Under-insured motorists coverage Liability Insurance 7. Towing or Roadside Assistance 8. Rental Reimbursement
Missouri Auto Liability Insurance
Liability insurance (both bodily injury and property damage) is the foundation of Missouri auto insurance policies. Almost every state that requires auto insurance mandates the purchase of Property Damage and Bodily Injury liability coverages. If you are at fault in an auto accident, your liability coverage will pay the covered liability expenses up to the policy limit for bodily injury, property damage, and any legal bills. The bodily injury coverage would pay for medical bills and lost wages; the property damage coverage would pay for any property of others that was damaged. If you own a home and have nest egg and a savings account, you should consider more liability insurance because, in most states, drivers are allowed to sue other drivers who injure them in car accidents. If you’re sued and your liability insurance doesn’t pay for all of the damages, your personal finances are on the hook, and it’s likely you’ll become a target.
Missouri Auto Bodily Injury Liability Insurance
The Missouri bodily injury liability insurance coverage pays for medical bills and lost wages of others. If you are determined to be at fault, this coverage will pay up to the policy limits. Again, it is wise to purchase more than the Missouri state minimum limits ($25,000 per person and no more than $50,000 total for all the persons in the accident). Severe injuries can costs hundreds of thousands of dollars for just one person; not including lost of wages, and pain and suffering. As with Property Damage Liability Insurance, it’s a good idea to buy more than the Missouri minimum Bodily Injury Insurance limits. Important Point: Although purchasing only the minimum State required Bodily Injury Insurance limits can get you a cheaper auto insurance rate, if you cause a serious accident, you are likely to have inadequate coverage. Many vehicles today have a much higher value than the Missouri minimum Property Damage Liability limits of $10,000. You would be responsible for any amount of property damage over the minimum limits, if that is the coverage you purchased. Multiple persons with severe injuries can each have damages of hundreds of thousands of dollars or more. That’s why it is important to buy more than the Missouri minimum Bodily Injury Insurance limits.
Missouri Auto Property Damage Liability Insurance
Property Damage Liability coverage pays for the repair or replacement of property damaged other than your own car, such as lamp poles, fences, buildings, or anything else that your car may have damaged. If you are determined to be at fault, this coverage will pay up to the policy limits. Again, it is wise to purchase more than the Missouri state minimum limits of $10,000. As with Bodily Injury Liability Insurance, it’s a good idea to buy more than the Missouri minimum Bodily Injury Insurance limits. Important Point: Although buying only the minimum State required limits can get you a cheaper auto insurance rate, if you cause a serious accident, minimum insurance may not cover you adequately. Many vehicles today have a much higher value than the Missouri minimum Property Damage Liability limits of $10,000. You would be responsible for any amount of property damage over the $10,000 minimum limit, if that is the coverage you purchased. Multiple vehicle accidents or Tractor Trailer Trucks loaded with cargo can have damages of $250,000 or more. That’s why it’s a good idea to buy more than the Missouri minimum Property Damage Insurance limits.
Missouri Auto Collision Insurance Coverage
If you cause an accident, collision coverage will pay to repair your vehicle. You usually can’t collect any more than the actual cash value of your car, which is not the same as the car’s replacement cost. Collision coverage is normally the most expensive component of your car insurance rate. By choosing a higher deductible, say $500 or $1,000, you can keep your premium costs down. However, keep in mind that you must pay the amount of your deductible before the insurance company kicks in any money after an accident. Insurance companies often will “total” your car if the repair costs exceed a certain percentage of the car’s worth. The critical damage point varies from company to company, from 55 percent to 90 percent.
Missouri Auto Comprehensive Insurance Coverage
Comprehensive coverage will pay for damages to your car that weren’t caused by an auto accident: Damages from theft, fire, vandalism, natural disasters, or hitting a deer all qualify. Comprehensive coverage also comes with a deductible and your insurer will only pay as much as the car was worth when it got wrecked. Because insurance companies normally will not pay you more than your car’s book value, it’s helpful if you have a rough idea of this amount. Check the Kelley Blue Book or the National Automobile Dealers Association. If your car is worth less than what you’re paying for the coverage, you’re better off not having it. Neither collision nor comprehension insurance is required by any of the states, but some lenders, when the owner finances the car, may require the purchase of collision and comprehensive in the loan agreement. Even when it is not required, collision and comprehensive coverage is highly recommended by the insurance industry, so that in the unforeseen event of damage or theft, the owner of the car can avoid heavy bills. Theft of cars is not as unusual as some people may think. In 2004, a car was stolen in the United States every 26 seconds, and a car had a 1 in 190 chance of being stolen. Medical Payments, PIP, and No-fault coverages.
Missouri Medical Payments (MedPay) Coverage
Medical payments (MedPay) coverage will pay for your and your passengers’ medical expenses after an accident. These expenses can arise from accidents while you’re driving your car, someone else’s car (with their permission), and injuries you or your family members incur when you’re pedestrians. The coverage will pay regardless of who is at fault, but if someone else is liable, your insurer may seek to recoup the expenses from him or her.
Missouri Auto Personal Injury Insurance Protection (PIP)
Personal Injury Protection (PIP) coverage is an extended form of MedPay. PIP may cover expenses that are related to injury, but not necessarily medical, such as lost wages, childcare and funeral costs. PIP coverage is currently required by sixteen states. If you are already insured under a good health insurance policy, then fortunately, there is no need to buy more than the minimum required amount of PIP or MedPay insurance. If you have a good health insurance plan, there might be little need to buy more than the minimum required PIP or MedPay coverages, if at all. And, if you already have disability insurance, there’s little reason to purchase higher-than-minimum amounts of PIP.
Missouri Auto Uninsured Motorists Insurance (UM) Coverage
Uninsured motorists (UM) coverage pays for your injuries if you’re hit by a hit-and-run driver or someone who doesn’t have auto insurance. It’s wise to have the same limits for UM/UIM as you have for bodily injury liability. UM/UIM covers damages to you and your property. It pays for your injuries and, in some policies, damage to your car, if the person at fault in an accident with you cannot pay for your damages. Since it’s wise to base your liability limit on what you have to lose, you should do the same with UM/UIM.
Missouri Auto Underinsured Motorists Insuranc e (UIM) Coverage
Underinsured motorists (UIM) coverage will pay out if the driver who hit you causes more damage than his or her liability coverage can cover. In some states, UM or UIM coverage will also pay for property damages. Similarly, under-insured motorists insurance will cover any damage caused when you are struck by a driver who is not insured for a sufficient amount. You’ll probably want to have at least the minimal amount of UM/UIM because if you can’t find the other driver, you’ll at least have some coverage for pain-and-suffering damages.
Missouri Auto Insurance Optional Coverages
Several supplemental Missouri auto insurance coverages are available, either as separate premium items or included in augmented policies. Rental reimbursement, a common add-on, covers vehicle rentals required because your car is damaged or stolen. Coverage for towing and labor or Roadside Assistance charges in case of a road breakdown is also common. Gap coverage for your new car will pay the difference between the actual cash value you receive for the car and the amount left on your car loan if your vehicle is totaled in an accident.
Important Points about Missouri Auto Insurance Coverage
You may be asked for proof of insurance at any and all of these times: at vehicle registration, at the time of an accident, and any time when driving the vehicle. It is suggested that the owner of the car keeps proof of insurance in the car at all times, instead of on his or her person, so that it can be available at all times, no matter who is driving. You should never drive without Missouri auto insurance. Any violations of state law regarding auto insurance could result in a hefty fine, suspension of your driver’s license, and possibly time in jail. The dire consequences of driving while uninsured are not worth the neglect of paying for insurance. The chance that an uninsured driver will avoid detection is slim; he is likely to be caught and strictly punished–not to mention and increase in the cost of insurance for 3 to 5 years. Visit the Missouri Division of Motor Vehicle website to learn more.
Why Choose Alternatives Insurance® of Chesterfield?
We’re committed to outstanding customer service
We start by offering the best Missouri insurance products at a reasonable price. But it’s the Alternatives Insurance® of Chesterfield team that really set us apart from the competition. With combined experience of 60 years, our sales and support staff members can handle your transactions quickly and efficiently. We service each and every account using out team of insurance professionals and we’re always available to answer your questions.
We’re committed to professionalism
Our dedication to client service comes from a culture of professionalism and respect. All of our associates at Alternatives Insurance® of Chesterfield have strong credentials and all of our policies are presented to you in a consistent and professional manner.
We’re committed to solving problems quickly
Alternatives Insurance® of Chesterfield has unique industry relationships, allowing us to provide exclusive insurance solutions to our customers. Additionally, every staff member is trained to actively listen and provide helpful answers presented in a way in which our policy holders clearly understand.
We’re committed to earning and maintaining your trust
We believe trust is something earned by listening to our customers while providing helpful advice and support. Trust and consistent underwriting practices is what we expect from our carrier partners, and in return we owe the same level of service to you.