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Car insurance is one of those things you hope you never need. Many people fall to the temptation of skipping that bill for a while, but should you get in an accident, you could be completely bankrupted. No, I'm not talking about having to buy a new limo or Mercedes for someone. I'm talking about if a person is injured or killed in a car accident. Without insurance, you can be ruined by medical bills or lawsuits faster than you can say "I thought I paid it."

It is wise to have liability coverage for at least your net worth, if not double that. You haven't worked so hard to get where you are just to have it all vanish overnight. Many people just get the minimum coverage and never think about it. You are smarter and more successful than that.

Of course, there is the nagging fact that it is the law. These days you can even go to jail for not having car insurance. You don't want to take that chance. You don't want to lose your driver's license. You don't want to be bankrupted. All that being said, I have the minimum liability on my clunker. I cross my fingers and so far so good.