One of the things I’m often asked by clients, or people in general, is, “How much insurance should I have?” That has actually been set by statute. In order to drive legally in Nevada, you have to have at least $15,000 per person in liability coverage. It’s funny, that limit was set back in 1958, when the dollar went a lot further than it does now.
I encourage all my clients, and everyone I talk to, to get higher limits. It doesn’t cost much more, usually just a few dollars more per month can dramatically increase your liability coverage. The other thing that you need to remember, though, is we’re having a severe economic crisis in this country, and Nevada has been hit particularly hard. Conservative estimates are that 1 in 6 drivers doesn’t even have car insurance right now. That means that if you’re hit by somebody and you’re hurt and they don’t have coverage, typically they don’t have any assets, so you’re not going to be
able to get any money from that person or that person’s insurance company, because it doesn’t exist, and you’re going to be on the hook for all your medical bills and all your problems, and the cost of your vehicle.
So I encourage all of my clients to get what’s called “Uninsured Motorist Protection”. Simply stated, that just means that if I get hit by somebody that doesn’t have insurance, my insurance company is going to step in and cover it as if they insure that other person. Uninsured motorist carries another benefit: If I’m hit by somebody that has insurance but doesn’t have much, and it isn’t enough to cover all my harms and my losses, I can turn to my uninsured carrier, and they supplement the insurance the other driver has. It become under-insured coverage. I encourage everyone to talk to their insure agent, and he or she will answer all those questions in more detail, but uninsured motorist is definitely something everybody should have.