What 25/50/25 means
Tennessee requires liability coverage of at least $25,000 per person and $50,000 per accident for injuries you cause, plus $25,000 for damage to someone else's property. Liability pays for the other driver, their passengers and their car. It does not pay to repair your own vehicle.
Why the minimum often falls short
A single hospital stay or a newer vehicle can cost more than those limits. When a claim goes over your limits, you can be personally responsible for the difference. Many drivers choose 100/300/100 or higher, and the price difference is often smaller than people expect.
Uninsured motorist coverage
Tennessee auto policies include uninsured motorist coverage unless you reject it in writing, and you can choose lower limits in writing. It pays for your injuries and damage when the at-fault driver has no insurance or not enough. Keeping it at the same limits as your liability coverage is usually the safer choice.
Coverage for your own car
Collision pays to fix your car after an accident. Comprehensive covers theft, hail, fire, flooding and hitting a deer. If you have a loan or lease, the lender will usually require both.
How to decide
Start with what you would lose in a serious accident: savings, home equity and future income. Then compare a few limit options side by side. Luis can quote several carriers at different limits so you can see the real cost of more protection.
This article is general information. Your coverage depends on the terms of your own policy. Call Luis to review yours.