Is basic auto insurance ever the right choice?

Basic auto insurance is what the state mandates when it comes to coverage. At Brittany Olson Insurance Agency LLC in Cloquet, MN, we have years of experience. Our team will help to make sure that you have the right amount of auto insurance for your particular situation.

Is basic auto insurance ever the right choice?

Minnesota is a no-fault auto insurance state. The difference with no fault is that if you have an accident, the cost of injuries is borne by the person injured not the person responsible.  PIP (personal injury protection) is required of all drivers. Your insurance pays for your injuries. The minimum that you need to have is $40,000 for one person injured. $20, 000 of that is for hospital or medical costs and $20,000 for non-medical, which can cover lost wages, etc. 

In addition to the PIP, basic insurance includes liability coverage of $30,000 for injuries to one person and $60,000 for two or more people injured. $10,000 in property damage must be included. You also need to cover uninsured drivers or under-insured drivers in the amount of $25,000 for one person and $50,000 for more than one person. 

If you have limited assets, this amount may be adequate for your particular situation. However, if you have assets, basic auto insurance may not be enough auto insurance to protect you. If you lease a vehicle or have an auto loan, this coverage will not be enough. You will need to have collision and comprehensive coverage to protect the vehicle. 

If you don’t have a loan or lease, but you count on your vehicle to get to work or to just do the business of everyday life, then you will not be safe enough with just basic auto insurance coverage. 

Get The Right Coverage Today

Contact Brittany Olson Insurance Agency LLC in Cloquet, MN for all your insurance needs.