Navigating the world of Missouri car insurance can feel complicated and confusing. What are the different types of coverage? What is legally required by Missouri law? Fortunately, the basic concepts are easy to understand so that you can quickly learn how to find the best car insurance for your needs.
Missouri’s Legal Requirements for Auto Insurance
All Missouri drivers must have liability insurance. It pays for damages and injuries that happen to others as a result of your actions. Additionally, it provides for your legal defense in the event someone sues you.
Missouri, as with many other states, follows the 25/50/10 rule for coverage. It requires:
- $25,000 for bodily injury to an individual
- $50,000 for bodily injury to multiple parties in a single accident
- $10,000 for property damage in a single accident
Additionally, state law requires uninsured motorist coverage (UM). If someone who does not have insurance causes an accident that hurts you, your UM policy covers your medical expenses. Your UM coverage must have the following minimums:
- $25,000 for bodily injury to an individual
- $50,000 for injuries to multiple people in a single accident
While owning the minimum amount of car insurance protects you legally, it might not necessarily protect you financially if you cause a serious accident. Major medical expenses can quickly exhaust the limits of a bare-bones policy.
Unfortunately, you could wind up as the defendant in a lawsuit. As a general rule, the best way to protect yourself is by purchasing additional liability insurance. It should be enough to cover the total of your savings and major assets (such as your house).
Other Types of Car Insurance
Aside from liability and uninsured motorist insurance, several other policies are also available. The most common types include:
- MedPay – Medical Payment policies cover medical expenses for both you and your passengers. They pay out regardless of whether you or another driver were at fault.
- UIM – Underinsured motorist coverage covers any medical bills that exceed the limits of the at-fault driver’s insurance policy.
- Collision and Comprehensive – Both collision and comprehensive policies protect against actions out of your control, such as weather-related damage, theft, and vandalism.
Approximately 14 percent of Missouri drivers do not have auto insurance, according to the Internet Research Council. Supplemental policies beyond those legally required can help provide additional protection against an at-fault driver who lacks insurance. After all, even if an uninsured driver is found legally responsible, they might lack funds to recover.
How are Insurance Rates Calculated?
Your specific insurance rates are set according to a variety of factors.
First, insurance companies consider how you behave behind the wheel. They look at your driving record and past claims. Someone with a long history of traffic infractions and accidents will have higher rates than a person with a relatively unblemished record.
Additionally, insurance companies will consider the type of car you drive. They will look at factors such as age, make, model, and more. The presence of certain safety features, such as collision detection, can lower your rates.
Finally, insurance companies look at certain basic demographic factors. In Missouri, companies are legally allowed to consider the following: age, credit, education level, occupation, gender, marital status, and zip code.
The Importance of Having Car Insurance in Missouri
“The penalties for driving without car insurance can be quite severe,” says Kevin Roach, founder and personal injury attorney at The Law Offices of Kevin J. Roach LLC. “You could have points assessed against your license, your license could get suspended, or you could even face more serious charges if found responsible for an accident.”
Understanding the legal minimums required in Missouri, as well as the other types of insurance that provide additional coverage, is the key to protecting your property, finances, and health when behind the wheel.
