Automobile insurance law requires insurance companies to offer a variety of options for coverage, but provides certain minimum requirements. One option is to provide either “limited tort” or “full tort” coverage. If you select “limited tort”, you may receive a discount, perhaps up to 10% of the premium. However, in return for this discount you are also agreeing to give up any right to make a claim for bodily injuries unless your injuries are “serious”. The term “serious injury” is not defined in the law and case law is not yet clear on this subject. By choosing the “full tort” option, the insured does not have this limitation. Unfortunately, many injured victims of auto accidents are being denied the right to make a claim for noneconomic losses due to their injuries because they have chosen the “limited tort” option – often without knowing the difference.

You should know that your policy contains other options that may have important limiting consequences. For instance, though the law requires all registered vehicles to be insured, the fact remains that not all vehicles are insured or are insured only for the minimum liability limits. You cannot control what insurance other drivers may obtain. You can and should, however, make sure that your uninsured and underinsured motorist’s coverage is adequate to protect you in these circumstances. “Stacking” is another important option that you should discuss with your insurance agent.

As in many other areas of life, “you get what you pay for”. If you simply tell your agent to find you the lowest premium, you may end up with inadequate coverage in the unhappy event that you are in an accident. You should review all of your insurance policies annually to make sure your interests are being protected. If you have questions about this topic or other legal concerns, please contact me at your convenience.