If you own an auto in the state of Georgia, you must have automobile liability insurance for at least the minimum limits required by law to drive on the Georgia public roads and highways. The minimum limits of liability required under Georgia law are Bodily injury Liability of $25,000 per person, $50,000 per occurrence and Property Damage liability of $25,000 per occurrence. Liability insurance is insurance that pays damages to others, on behalf of an insured, for injury to or damaged property of others, up to the policy limit, which an insured may have caused by his negligence or may protect him against claims made against him by someone who alleges he was at-fault.

Even though the minimum limits are 25/50/25, please note if you are involved in an accident and you are at fault, any costs above these limits will be your responsibility to pay. Many newer automobiles on the road today are easily valued in the 30 to 40 thousand dollar price range and having only a $25,000 Property Damage Limit in many cases will not cover the damage if you are involved in an accident. Therefore, we would strongly recommend purchasing liability insurance at 100/300/100 limit to ensure you have adequate coverage.

Physical damage insurance is insurance to pay for loss or damage to your own vehicle. Physical damage insurance consists of two types. The first part which pays for theft, vandalism and fire type losses are referred to as either “comprehensive” or “other than collision coverage.” The second part is “collision” coverage. Physical Damage coverage is not required by State law, but is usually required by the lender (bank or finance company) if there is a loan on the vehicle or by the leasing company if it is leased. An insured can file a claim under his own Physical Damage coverage even if someone else may have caused the accident.

Uninsured Motorist Insurance may also be included on a policy. Although Georgia requires all drivers to have “liability insurance” to drive, there are unfortunately those that either do not obey the law or may have unknowingly allowed their insurance to cancel. Uninsured Motorist would protect you when that other “uninsured” driver causes an accident which damages your vehicle or injures you or your passengers. This coverage is for protection of the policyholder’s loss or damages inflicted in that accident.

Auto insurance rates vary depending on the coverage’s requested and the people being insured. Coverage limits and deductibles can be adjusted on collision and comprehensive policies. The higher the coverage amount, and the lower the deductible, the more that is charged for auto insurance premiums. Rates are also adjusted based on a driver’s age, gender, driving history and the vehicles driven.