Hi, in our three biggest budget busters video we revealed that our car insurance cost a measly thirty four dollars per month if you injure or kill someone in a car accident in Florida the state required limit is ten thousand dollars per person and twenty thousand dollars per occurrence what we didn’t realize is once those limits are met you are held personally responsible for the remainder
all your assets including your savings and even your future wages are in jeopardy “give me all your money” if you have any amount of savings like we do you’re gonna want more coverage property damage pays for the repair of somebody else’s car home or property in the case of an accident with the average price of a new car in 2014 being $32,086 you can see why the ten thousand dollar minimum is a joke not to mention multiple car pile-ups or running into buildings
this is where things get interesting personal injury protection covers your own medical bills and lost wages in the event of an accident so if bodily injury covers the other person personal injury protection covers you medical payments is the option to basically increase the coverage of your personal injury protection minus the lost wages part It’s extra money for X-rays surgeries and ambulance rides without waiting for the results of a lawsuit or investigation uninsured motorist to me is the most interesting because it’s basically buying insurance for every other driver on the road where it gets complicated is that this should technically be covered by your health insurance but you would have to call and check to be sure this is so boring okay
so that covers injury and everyone elses car in an accident but what happens to your car if you hit another person’s car it’s called collision insurance and this is what most people think of when they think of car insurance it basically replaces or repairs your car if you were to get into an accident it’s also very expensive comprehensive on the other hand covers everything else including fire flood theft falling objects vandalism hail malicious mischief windstorm civil commotion explosion earthquake water damage lightning larceny water damage and damage caused by flying objects in their words missiles it also happens to be super cheap all right
now that we know buying how much insurance do we actually need well for me the biggest eye-opener was how important bodily injury and property damage coverage is and how cheap it to increase our coverage from the embarrassingly low ten thousand dollar limit to a more reasonable hundred thousand dollar limit was only fifteen dollars a month but as our networth continues to increase I’m going to be ratcheting up those limits to cover our asses assets assets and the most expensive part of car insurance is still the collision coverage and this covers your car for replacement or repair if you get in an accident
this is where you can save some money if you have enough in the bank to cover the cost of a replacement car should you need it even with high-deductible we would need to get into an accident every 5.2 years to make the collision insurance worth it we know this video is boring but with so many savers watching we knew it was too important to ignore so check out how much insurance you actually have and make sure they you have enough to cover your asses… assets because we chose to self-insure meaning that we felt we had enough money in the bank that if we had to replace our car we could for no other reason other than
I had kind of a strange feeling I decided to take a closer look at that plan it was a good thing that he did because it turns out that all are savings and future plans were at the mercy of us never getting into an accident yikes but before getting started I want to make very clear we’re not licensed or qualified in any way to give any information about car insurance or legal or blah blah blah all the information we are going to provide is based on a having geico insurance in Florida FYI we have invited Colyn and Peyton and Brady “look a chicken!” to help us keep things simple and entertaing bodily injury is the big one this covers you. luckily we learned this lesson the easy way and not when it was too late the hard way but let us know below you think i enough if we missed anything and how much insurance.