Drivers in every state have to carry some amount of insurance, but Minnesota requires more than most. Unlike many states that only mandate liability coverage, Minnesota requires that everyone carry a combination of no-fault and liability coverage, in addition to certain supplemental protections.
Given those robust requirements, you might think that just purchasing the least amount of insurance you can for the lowest price possible will leave you adequately protected. However, if you actually explore what the state requires, you will quickly see that paying a little bit more for extra coverage is probably in your best interests.
What does Minnesota require?
Every driver in Minnesota needs to carry $40,000 worth of no-fault coverage. This protection will cover the first $20,000 worth of medical expenses and the first $20,000 of other losses, like property damage to your vehicle or lost wages, that you or your passengers have after a crash. It won’t matter who causes the wreck.
Additionally, drivers need to carry liability coverage. If they cause a crash with damages that exceed the no-fault coverage of another driver, that driver can make a claim against the at-fault driver’s liability coverage. Everyone needs to have at least $10,000 worth of property damage coverage. The minimum for bodily injury liability coverage is $30,000 when a crash hurts one person and $60,000 when a crash hurts multiple people.
Finally, every driver needs to carry $25,000 of uninsured and underinsured bodily injury protection coverage that doubles when two or more people get hurt. Drivers can make a claim against this coverage when their no-fault coverage and the policy of the at-fault driver are not enough.
Should you buy more coverage?
Injuries that affect the brain and spinal cord, as well as severe fractures and amputations, may cost much more than all of that coverage combined. For only a few more dollars a month in insurance costs, you can purchase higher limits for the mandatory kinds of coverage and supplemental coverage, like collision or comprehensive coverage.
By increasing your personal coverage, you have more protection in the event of a crash. More no-fault protection will protect you and your passengers from losses, while more liability protection will reduce the chance of someone eventually suing you. Understanding how car insurance works after a Minnesota motor vehicle collision will help you protect yourself from both liability and losses.