Why jan jesberger insurance doesn't write state minimum liability limits

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Why jan jesberger insurance doesn’t write state minimum insurance auto limits

About once a week we get a call that starts off with “I am looking for the cheapest rate on my auto insurance rate and thought you could help me.”

We just want to cringe when such an important conversation starts like this. It also reminds us of the reality that most people really have no idea what they are buying when it comes to insurance. They have been sold “Name your own price” or “Save 15% or more”. This blanket sales approach often leaves them more exposed than they realize.

What keeps us up at night, is how often, they often have been placed in a policy that does not fit their needs. This article focuses on their liability and its importance in your insurance policy. In this article we won’t be talking about physical damage or glass breakage, or even towing. These are all important aspects of your policy, but if you have a cut rate policy, these coverages are probably not included. IFyou aren't sure about the terms in this blog, please check out our insurance 101 page

Liability Insurance- what state minimum limits really mean

As insurance people, we often think of the worst case scenarios, it’s because we hear stories each day, like hitting a motorcyclist and causing lots of injury, or a multi car pileup. We hear stories all of the time of big wrecks, and big bills in making everyone whole again. When an accident happens, the last thing you want to think about is not having enough coverage, or worse, an exclusion that you signed off on without understanding. Here is the actual law

In Idaho, you are legally required to purchase liability auto insurance in the following amounts.

Think about that for a minute

You have $25,000 to fix up driver Jan and she gets taken to the emergency room. $25,000 can be used up in a matter of a day or two. You have $15,000 to put her car back together, but she drives an expensive car. If it takes more money than that, they are coming after your personal assets. Twenty-five grand seems like a lot of money, and I agree. It would be great if someone would just hand that amount of money to me, but how fast would this money get used in the event of an accident?

Transportation to the Hospital

Just a simple ride in an ambulance is well over $1,000. Any extenuating injuries would be in addition to the transport cost. The truth is, that in our rural state, that an ambulance ride can actually be in a helicopter, which can lead to tens of thousands of dollars like this MD who after an ATV crash got an $56,000 bill

Emergency Room

This cost alone can run into the tens of thousands of dollars. Especially if you have multiple injuries that can require surgery and other care.


When we think of the injuries and pain of an accident, we tend to think in the terms of today, first responders, emergency room, law enforcement, and family, the truth is however, as hard that this day is, it is just day one of starting the road to recovery. As insurance professionals, we need to think of what comes next. The total cost of making someone whole again, is tough to put a price tag on. The reality is that you are going to be financially responsible, not only for the medical bills, but also for loss of mobility, ability to remain employed, or heaven forbid, the loss of life. This unfortunate reality can run into the millions of dollars. Rehabilitation and incurred damage costs are the aftermath of most auto accidents. If you are established, and have money, or the appearance of money, you might even want to check out excess liability insurance, or umbrella insurance, an affordable solution to big losses.

What happens if you don’t have enough coverage?

Let’s just make this clear, if you don’t have enough coverage they will come after you personally. You are self insuring.

Here is a great example of a simple accident that doesn’t have injuries.

Jan was driving her old truck to the dump, has a blowout, and strikes a signal light pole. She just has minimum limits, her truck is a total loss, but no one is hurt. Fast forward 3 months, Jan gets a bill for $26,000 to repair the signal light pole. She has a $15,000 limit for property damage, so she is on the hook for the difference of $11,000.

There are certain laws in each state that protect assets like your IRA’s, and your home, but once the lawyers are engaged, who knows what you can lose.

How can I increase my liability limits without breaking the bank?

  1. Increase your deductibles on your comprehensive and collision coverage. This article doesn’t discuss the comprehensive and collision portions of your policy. However, this is one way to increase your liability limits, while minimizing your insurance increases, when you accept the increase in your deductibles, you are accepting more risk out of pocket. Therefore…it lowers your insurance rates. So, you might want to increase your deductibles to counteract any increase with buying higher liability limits.
  2. Utilize every discount option you have. Paperless discount, multi policy, the list for discounts go on and on. These discounts are reflective of the type of customer that the company wants, and they vary from company to company.
  3. Shop with an independent insurance agent. Seriously, an independent agent has choices, just like you do when you go to 31 flavors. Think of an independent agent as that ice cream server of the insurance world. Your agent can get you the correct coverage at the best price. We search multiple companies at one time to provide you with coverage limits that are adequate for you without sacrificing your budget.

Lability protection is important for your financial health. If you aren’t properly insured, all it takes is one accident to turn your life into a time of debt and recovery. Even more important in our minds to know that if you caused great harm to another, you could help put their lives back together.

Why not give us a call today at 208-762-2122 or email us at jan@janjinsurance.com to evaluate your risk, and recommend an insurance carrier that covers you adequately, without breaking the bank