Low resale value

[emptysea]

Thanks W/R. I am an insurance agent and was a little concerned because it appeared that advice might have been provided in this thread that encouraged carrying minimum limits of liability. In most US states, that minimum limit is $25,000 per person and $50,000 per accident with $15,000 of property damage (of others) liability. Many people refer to this as "Basic" coverage. Advising someone to carry coverage limits that meager would be irresponsible.

The above was posted prior to my seeing Houtman's response:

Carrying the state required minimum limit of coverage is stupid and irresponsible. It is, of course, your prerogative to do so, but you are putting those assets you accumulated by not financing your purchases at risk. Worse, in my opinion, is that if you happened to injure someone severely, you may not have enough assets to pay for the injuries you caused. It doesn't even have to be THAT severe of an injury, either. For example, my wife broke her leg in a motorcycle accident and the total medical cost ran about $60,000. The cost of repairing the bike was about $3000. I don't know what NC's minimum limits are, but it's safe to assume they are similar to IL's. If you had caused her injury, that would leave you with a bill of about $35,000 due pretty much immediately. If you had put her in a wheelchair for the rest of her life, your bill would be, ohhh $2,000,000 maybe?