When you buy car insurance, you sign up and pay money into a “community accident pool”. If a community member has an accident, the community reviews the accident and pays for the accident from the pool.
Wisconsin is an “at-fault accident” state. In the event of a car crash, fault must be established. The party found at-fault will be required to cover all damages. People can be damaged and property can be damaged.
- Car insurance can provide liability coverage, which protects other people’s stuff. If you are liable for bodily injury or property damages caused to others, your liability coverage protects you up to the limit you select.
- Car insurance can provide physical damage coverage. This protects your property, namely your vehicle. If you cause an accident (hit a deer, hit another car…), your physical damage coverage helps you get your car back on the road.
Is car insurance worth it? A hospital stay can easily cost $10,000 and a car $10,000. Do you have $20,000 sitting around in case of an accident? What if it’s a new car worth $50,000 and two injured people with a week in the hospital, $140,000. Insurance is protection against accidental financial catastrophe.
**Contact a Behnke Insurance Agent for details**