By law, what kind of auto insurance am I required to buy?

There are few types of insurance that are required by law--auto liability coverage is one of them. Other types of auto coverage are optional, but in Missouri, if you own or operate a motor vehicle, it must have at least the following liability coverage:

• $25,000 per person for injuries you cause to another
• $50,000 per accident for injuries you cause to one or more persons
• $10,000 per accident for property damage you cause to someone else's property

The law also requires uninsured motorist coverage of $25,000 for bodily injury per person and $50,000 for bodily injury per accident. (It may be a good idea to also get underinsured motorists insurance, which will cover you if the person who causes an accident doesn't have enough insurance to pay all costs from injury to you or damage to your property.)

The Missouri Department of Revenue tracks drivers to make sure their liability policies remain in force. If you let your coverage lapse or expire, your vehicle registration can be suspended and you can lose your driver's license.

Brenda Procter, M.S.,  Consumer and Family Economics, College of Human Environmental Sciences, University of Missouri-Columbia

If you'd like to learn more about this and other personal finance topics, the University of Missouri offers 'Personal & Family Finance,' a correspondence course, through the Center for Distance and Independent Study (800-609-3727). Information about this course is available at http://cdis.missouri.edu/CourseInfo/DetailCourseInfo.asp?1985.

Last update: Tuesday, July 05, 2005