Coverage

Are you covered enough?

You’re driving on the freeway in winter, being extra cautious due to the icy road. Suddenly you hit some black ice and swerve into a Volkswagon Jetta causing that car to spin around and end up off the road in the embankment upside down. Of course, the first thing you do, after your car stops sliding and your heart resumes beating again, is call the police, right? You then run over to the Jetta to assess the situation and realize there are 4 people in the car who are all injured. After the police statements are all taken, the ambulances have left, and you’re at home wondering how the injured people are doing, should you also be worried about the bill for the ambulances, hospital, and other medical charges for the 4 passengers in the car? What about their car? How much insurance coverage do you have?

Bob Baxter, 62 years old, was the driver. Luckily the air bag went off, so he got off with some scrapes, burns from the airbag dust, and a broken arm. Lucille Baxter, bobs wife of 40 years was the front seat passenger. Her air bag went off too, so she also sustained scrapes, burns from the airbag dust, a broken ankle, and various bruises. Unfortunately, she had to have surgery on her ankle and a plate and several pins had to be inserted. Bob and Lucille’s son, Joe, and daughter-in-law, Brenda, were in the back seat. Smartly, they were both wearing their seat belts, but they both sustained minor injuries and needed to be treated as well. The Baxter’s poor auto did not fare so well. It was a total loss. When all was said and done, here is what the tab for the ambulance, hospital, x-rays, casts, laboratory, doctors, surgeon, etc. came out to, what your insurance company pays with your liability coverage of 25/50/15, and the balance that you pay: