Should I get 50/100 or 100-300?

Editorial team Published on

Get 100/300 coverage if you own a home, have savings, or want real protection from lawsuits, while 50/100 only fits drivers with very few assets.

🛡️ Comparing Coverage Limits

  • 📊 50/100 ($50k person / $100k accident)
    • Best for: Drivers with zero savings or property.
    • Risk: Medical bills easily exceed these limits.
    • Downside: You pay out of pocket if sued.
  • ✅ 100/300 ($100k person / $300k accident)
    • Best for: Homeowners and average wage earners.
    • Protection: Covers severe multi-person injuries safely.
    • Value: Usually costs only a little more per year.

💡 How to Decide

  • Count assets: Add home equity, savings, and investments.
  • Match limits: Your policy should match your net worth.
  • Check price: Ask your insurer for the price gap.
  • Do not forget property: Pair bodily limits with high property damage limits.

Is 100-300/100 coverage good?

Yes, 100/300/100 auto liability coverage is considered a strong, standard choice for most drivers, offering far better protection than bare state minimums.

What 100/300/100 Means

  • $100,000 Bodily Injury Per Person: The maximum your insurer pays for injuries to any single person you hurt in an accident.
  • $300,000 Bodily Injury Per Accident: The total maximum limit your insurer pays for all combined injuries in a single accident.
  • $100,000 Property Damage: The maximum your insurer pays for repairing or replacing other people's vehicles or property you damage.

Is It Good for You?

  • When it is good: It provides solid financial protection for average income earners and covers most everyday accident scenarios. It also usually qualifies you to purchase a personal umbrella policy. Most experts recommend it as a baseline instead of risky state minimums.
  • When it might not be enough: If you own a home, have significant savings, or a high net worth, a severe accident lawsuit could exceed these limits and put your personal assets at risk. Drivers with high net worths often upgrade to 250/500/100 or add an umbrella policy.
  • What it does not cover: This is liability-only protection; it does not pay for damage to your own car or your own medical bills unless you add collision, comprehensive, or personal injury protection. You can learn more about policy structures through State Farm or read details on recommended limits via Consumer Reports.

Most users on Reddit agree that 100/300/100 hits a sweet spot for value and safety, though higher limits are safer if you have assets to protect.

What not to tell your insurance company?

Never say I'm sorry or admit fault to an insurance adjuster, as these statements can be used to reduce your payout or deny your claim.

✅ What Not to Say or Do

  • ❌ Admitting Fault: Saying "I'm sorry" or "It was my fault"
  • ❌ Downplaying Pain: Saying "I'm fine" or "I'm not hurt"
  • ❌ Speculating: Guessing speeds, distances, or timing
  • ❌ Recorded Statements: Agreeing to give a recorded interview
  • ❌ Early Settlements: Accepting the first check right away

💡 Safe Communication Strategy

  • 🗓 Report Promptly:
    • Contact your insurer within 24 to 48 hours
    • Provide only date, time, and location
  • 🗒 Stick to Facts:
    • State what you saw without opinions
    • Decline to guess causes or blame
  • 🔎 Protect Medical Info:
    • Do not sign blanket medical releases
    • Get checked by a doctor first

Is it better to have a $500 deductible or $1000?

A $1,000 deductible is better if you want lower monthly payments and have enough savings to pay the higher amount during a claim, while a $500 deductible is better if you prefer lower out-of-pocket costs when an accident happens.

Comparison of Deductibles

  • $500 Deductible
    • Monthly premium: Higher.
    • Out-of-pocket cost during a claim: Lower ($500).
    • Best for: Drivers with limited emergency savings, those who feel uneasy paying a large cash sum unexpectedly, or people with higher driving risk.
  • $1,000 Deductible
    • Monthly premium: Lower.
    • Out-of-pocket cost during a claim: Higher ($1,000).
    • Best for: Drivers with a strong emergency fund, safe drivers who rarely file claims, and those who want to save money on yearly insurance costs.

How to Decide

Read guidance from Tapley Agency or review InsuraMatch to weigh your personal budget. Ask yourself these questions:

  • Can you afford $1,000 right now? Never pick a $1,000 deductible if paying it on short notice would cause financial hardship.
  • What is your car worth? If your car is older and only worth a few thousand dollars, a high deductible might not make financial sense.
  • How often do you drive? If you have a clean record and rarely drive, a $1,000 deductible helps you keep more cash in your pocket.

Is 300 a lot for full coverage insurance?

Yes, $300 a month for full coverage car insurance is on the higher side for a single average driver, but it can be normal depending on your personal situation.

Average Costs

  • National average: Full coverage costs about $197 to $200 per month ($2,361 per year) across the United States.
  • State minimum: Basic coverage averages about $54 per month, which makes $300 look expensive by comparison.

When $300 a Month is Normal

  • Age: Drivers under age 25 or teenagers pay much higher rates.
  • Location: States like Louisiana, New Jersey, Florida, and Texas have much higher average rates.
  • Driving Record: Recent at-fault accidents, speeding tickets, or a DUI will raise your monthly price.
  • Vehicles: Insuring multiple cars or an expensive, new, or electric vehicle increases the cost.
  • Credit Score: Drivers with poor credit often face higher premiums.

9 related questions found

Is $200 a month a lot for car insurance?

Paying $200 a month for car insurance is right around the national average for a full-coverage policy, but whether it is "a lot" depends heavily on your specific coverage and personal risk factors.

When $200 a Month is Normal

  • Full Coverage: The national average for full coverage (which includes liability, collision, and comprehensive) is about $195 to $209 per month.
  • Higher-Risk Profiles: If you are a young or newly licensed driver, have a recent ticket or accident on your record, or live in a high-cost state like Florida or California, $200 is very common or even low.
  • Newer or Expensive Vehicles: Insuring a brand-new or financed car costs more because replacement and repair parts are expensive.

When $200 a Month is Too High

  • Minimum Coverage: If you only carry basic state-minimum liability insurance, $200 a month is expensive. Minimum coverage normally averages around $55 to $64 a month.
  • Clean Record and Older Car: If you have a clean driving record, drive an older car that is paid off, and only have basic protection, you are likely overpaying.

Many users on Facebook Groups discuss paying well over $200 depending on their location, while others find ways to lower bills by shopping around.

What does 50/100 coverage mean?

A 50/100 coverage limit on an auto insurance policy means you have split-limit bodily injury liability coverage of $50,000 per person and $100,000 per accident.

Breakdown of the Numbers

  • $50,000 per person: This is the maximum amount your insurance company will pay for the medical bills, lost wages, or legal fees of any one individual injured in an accident you cause.
  • $100,000 per accident: This is the total maximum cap your insurer will pay for all combined injuries in a single accident, no matter how many people were hurt.

Important Details

  • Property damage is separate: The 50/100 label only refers to bodily injury. Often, this is written as a three-part number (such as 50/100/50), where the final number represents property damage coverage (e.g., $50,000 to fix another person's car or property).
  • You pay the rest: If the total cost of injuries or damages goes higher than your policy limits, you are personally responsible for paying the remaining balance out of your own pocket.
  • You can learn more about how limits work through guides like Liberty Mutual's Auto Liability Guide.

What are the top 5 worst auto insurance companies?

Several major auto insurance companies frequently rank poorly in consumer satisfaction reports and legal analyses due to claim delays and low settlement offers. Legal advocacy groups and consumer watchdogs often highlight the following five large national carriers among the most difficult to deal with regarding claims handling:

  • Allstate: Often cited by legal researchers for using aggressive "delay, deny, and defend" tactics and software like Colossus to minimize payout amounts.
  • Liberty Mutual: Frequently criticized for high consumer complaint volumes, slow adjuster response times, and disputes over vehicle valuations.
  • State Farm: Known in legal and consumer commentary for employing strict defense strategies that frequently result in delayed or contested payouts.
  • Progressive: Often flagged by policyholders and consumer advocates for undervaluing vehicle damage claims and protracted dispute processes.
  • Farmers Insurance: Routinely scores below average in consumer satisfaction surveys concerning collision repair experiences and claim settlements.

Which insurance denies the most claims?

Oscar Health denied 25.3% of in-network claims in 2024, representing the highest denial rate among major national ACA marketplace health insurers.

Health Insurance Denial Rates

  • Oscar Health: Denied 25.3% of marketplace claims.
  • Molina Healthcare: Denied 22% of claims.
  • Ambetter (Celtic): Denied 21% of claims.
  • UnitedHealthcare: Denied 20% of claims (down from 33% the previous year).
  • Kaiser Permanente: Recorded the lowest national rate at approximately 6%.

Homeowners and Auto Insurance Denial Rates

  • Allstate and USAA: Frequently flagged by public reports and consumer data for closing roughly 40% to 50% of property and homeowners claims without payment in high-risk regions.
  • State Farm: Reported home insurance denial rates exceeding 41% to 59% in catastrophe-heavy markets like Florida.

What to say to lower car insurance?

To lower your car insurance rate, ask your current provider for a policy review and specifically mention any recent life changes, low mileage, or missing discounts.

What to Say to Your Insurance Agent

  • "I drive fewer miles now." Say: "I am working from home more often and my annual mileage has dropped to under [X] miles. Can you update my commute?"
  • "Are there any discounts I am missing?" Say: "I want to review my account for discounts like paperless billing, auto-pay, defensive driving courses, or group/alumni affiliations."
  • "I received a lower quote elsewhere." Say: "Another top company offered me a lower rate for the same coverage. Is there anything you can do to match it or improve my current rate before I switch?"
  • "My driving record or credit has improved." Say: "My credit score has gone up, or my past violation/accident has fallen off my record. Can you re-run my profile for a better rate?"

Policy Changes to Request

  • Raise your deductible: Say: "What would my new monthly premium be if I raised my comprehensive and collision deductible from $500 to $1,000?"
  • Drop unnecessary coverage: Say: "My older car is paid off and worth very little. Can we remove collision and comprehensive coverage to lower my baseline cost?"
  • Bundle policies: Say: "Can you quote me a bundled rate if I move my homeowners or renters insurance to your company?"

Read more expert saving tips on the AARP Guide to Lower Auto Insurance or check out methods on Progressive's Lower Car Insurance Rates Page.