“The great illusion of leadership is to think that man can be led out of the desert by someone who has never been there” (Henri J.M. Nouwen).

Sometimes, looking at your insurance policy, it feels like you are the leader who “has never been there”! Common questions that come to mind when you think of insurance may be: How much coverage do I really need? Do I have too much or not enough coverage? What is the difference between underinsured and uninsured? Is this coverage for my vehicle or for myself? And, I have the legal limits for insurance on my vehicle, doesn’t mean I’m covered?

Those are just questions generally associated with auto insuranc.! Then there is homeowners, life, health, business, umbrella…and the list goes on. Now more than ever, in a world where legal repercussions can last decades, it is necessary to understand your coverage and protect yourself. If you do not already have a trusted insurance representative to work and plan with, it would be wise to seek one out.

Let’s look at the question of insuring a vehicle for the state minimum. The Nevada minimum for vehicle liability, also called BIPD (Bodily Injury/Property Damage) is “15/30/10”. This is liability coverage for which you are legally liable in the event of an accident. The “15/30/10” means coverage of $15,000 per person to a maximum of $30,000 per occurrence for injury you may cause to persons, and $10,000 coverage for property damage like damage to the other car, fence, mailbox – anything other than a person. This limit, however, was set in 1973. The average price of a car in 1973 was around $3,200. Review your last visit to the doctor. Would $15,000 be enough to cover the injuries of another person? If not, and you are at fault, you may be facing the possibility of a lawsuit. So while you may pay a bit more for larger liability limits each month, in the case you need to rely on that coverage, may well be worth the price.

There is no need to feel like you are leading your household in the desert “having never been there” when it comes to your insurance. Use your insurance professional, get a “map” and have a plan.