Why do I need insurance – Part 1
4th July 2006
I know many of you out there in San Antonio are asking yourselves this very question – why do I need car insurance? After all, if you’re driving a 1985 Chevy Caprice that’s worth $500, you may seem to have a good point. If your car gets wrecked, you’ll just buy another one, right? Well, no, not exactly. Picture this scenario if you will. You’re on your way home from work one night, and it’s raining. We all know that San Antonio doesn’t have the best drainage system, so water tends to collect on the roads. You come over the top of a hill and see a car just over the top, and it’s far too late to stop. You ram right into the back of a 2006 Mercedes-Benz S-Class sedan – that’s a $100,000 car.
Now, when the police get there, there’s no question that the accident was legally your fault. However, since you don’t have insurance, you’re in a heap of trouble. For starters, the friendly policeman is likely going to take you to jail, since it’s illegal in Texas. Secondly, you have to buy a new car. Next, you have a hefty repair bill for that Benz – they’re not cheap to repair! And that’s only if you’re lucky – the owner of the Benz may decide to sue – after all, his neck and back sure are hurting! Before you know it, you’re looking at a $75,000 bill – or more!
All of this could have been prevented with an inexpensive insurance policy. Since you own your car and don’t make payments, the minimum you need to carry is liability insurance. This can often be had for less than $100, depending on a number of factors.
Stay tuned for part 2!