Auto Liability Related Questions.

[gmontex]

A few questions related to auto coverage:

My umbrella liability coverage is limited for the time being because we had some moving violations in the family.
I was worried that we may not have enough liability coverage but then I realized that there is liability coverage on our auto insurance.
So if we have 1M in umbrella coverage and one 1M in liability on my auto insurance should I rest easier because I effectively have 2M in coverage or am I missing something here?
A related question. Our son is on our policy at age 21. Does it make sense to have him on his own policy or is it best to wait? He'll be moving from Calif. to Louisiana next year....I assume the rates might be lower.

 

[LouisianaTom]

A few questions related to auto coverage:

My umbrella liability coverage is limited for the time being because we had some moving violations in the family.
I was worried that we may not have enough liability coverage but then I realized that there is liability coverage on our auto insurance.
So if we have 1M in umbrella coverage and one 1M in liability on my auto insurance should I rest easier because I effectively have 2M in coverage or am I missing something here?
A related question. Our son is on our policy at age 21. Does it make sense to have him on his own policy or is it best to wait? He'll be moving from Calif. to Louisiana next year....I assume the rates might be lower.

If you got your 21 year old his own vehicle in his name with his own policy you would not have to list him on your umbrella as if he was in accident they could only file suit against him. Regarding your question about having $2M in coverage I would speculate from info provided this is not the case if you don't have a current umbrella policy due to moving violations which made you a high risk as determined by the insurance companies underwriters. Lastly, if your son is moving to Louisiana I am almost certain the rates will not be lower as LA has always had some of the highest rates in nation due to many factors, predominately being the number of uninsured motorists living here. One means to lower these rates would be for your son to have an older car in his name that you wouldn't have to carry comprehensive or collision coverage on - basically you would be self insuring the physical damage to the car. Comprehensive and collision coverage is the most expensive portions of an auto policy for young drivers under the age of 25. They amount you would comfortable losing in the case of total loss to the car is a case by case decision. Hope this helps

 

[gmontex]

Thanks, I'll have to check with our auto insurer to see about having our son listed with his own policy.
I'll also need to check to see at what point our umbrella liability carrier would allow us to raise our coverage