February 27, 2026
In today’s digital world, purchasing automobile insurance in Pennsylvania is easier than ever. You can obtain coverage online in minutes, and insurance companies frequently advertise “lower rates” to attract new customers. As an attorney who regularly reviews insurance policies in the context of accident claims, I can tell you that many people do not fully understand what they purchased until after an accident occurs, when it is too late to make changes.
Buying personal auto insurance may not seem like something that requires legal insight, however, failing to understand your coverage can lead to significant financial exposure. Below are key terms and coverages I routinely discuss with clients.
Liability Coverage
Every state requires vehicle owners to maintain automobile insurance. In Pennsylvania, driving without insurance can result in fines, suspension of your driver’s license, and suspension of vehicle registration. Beyond those penalties, the financial consequences of causing an accident without adequate coverage can be severe.
For example, in Pennsylvania, minimum required coverage is:
- $15,000 per person for bodily injury
- $30,000 per accident for bodily injury
- $5,000 for property damage
These limits were set in 1974. While they satisfy the law, they often do not reflect the current potential liability in an accident. For example, in 1974, $5,000 could purchase a new car. But today, in even a modest accident, $5,000 in property damage coverage can quickly be exhausted. If damages exceed your policy limits, you may be personally responsible for the difference.
From a legal perspective, carrying only minimum limits can create significant personal risk. For even greater protection, you can ask your insurance agent about umbrella or excess coverage.
Collision and Comprehensive Coverage
Collision and comprehensive coverage pay to repair or replace your vehicle following an accident or other covered loss. These coverages are typically required if your vehicle is financed or leased.
They are subject to a deductible and generally pay the fair market value of the vehicle if it is declared a total loss.
If your vehicle is financed or leased, you should inquire about the need for gap coverage which ensures the balance of any loan or lease will be paid. Without it, you could owe money on a vehicle that has been totaled, meaning you are making payments on a car you no longer have.
Limited Tort vs. Full Tort
In Pennsylvania, drivers must choose between Limited Tort and Full Tort coverage.
- Limited Tort reduces your premium but restricts your ability to recover damages for pain and suffering unless certain legal exceptions apply.
- Full Tort preserves your right to pursue the full range of personal injury claims.
Many individuals select Limited Tort to lower their premium without fully appreciating the legal limitations it imposes. I have seen firsthand how this decision can affect an injured person’s ability to recover compensation.
Uninsured Motorist Coverage
Uninsured Motorist (UM) coverage protects you if you are injured by a driver who does not carry insurance. In my practice, I continue to see claims involving uninsured drivers.
UM coverage allows you to make a claim against your own insurance company for the damages the uninsured driver should have paid, up to your policy limits. In most cases, you can purchase UM coverage equal to your liability limits. Higher limits provide greater protection.
Underinsured Motorist Coverage
Even when the at-fault driver has insurance, their policy may not be sufficient to compensate you for serious injuries.
Underinsured Motorist (UIM) coverage allows you to recover the difference between the at-fault driver’s coverage and the full value of your claim, up to your policy limits.
Given the relatively low minimum liability requirements in Pennsylvania, UIM coverage is often one of the most important protections on a policy.
Stacking
If you ensure multiple vehicles under the same policy and elect UM or UIM coverage, you may have the option to “stack” that coverage. Stacking multiplies your available coverage by the number of vehicles insured.
From a legal standpoint, stacking can significantly increase available recovery following a serious accident. There are advantages to insuring multiple vehicles under a single policy for this reason.
Medical / First-Party Benefits
Pennsylvania requires a minimum of $5,000 in medical (first-party) benefits. These benefits pay your medical expenses after an accident, regardless of fault.
You may also purchase:
- Increased medical benefits
- Wage loss benefits
- Death benefits
These coverages can be critical in the immediate aftermath of an accident, particularly if you are unable to work.
A Practical Legal Perspective
This overview is necessarily general. Every policy contains specific terms, exclusions, and conditions that can affect your rights and obligations. Each state has its own standards for automobile insurance. If you do not live in Pennsylvania be sure to research the automobile insurance laws of your state.
As an attorney, I encourage clients to view automobile insurance not simply as a monthly expense, but as financial protection. Understanding your policy before an accident occurs can prevent significant personal liability and ensure you have the coverage you need when it matters most.
If you have questions or require legal assistance, please contact Robert J. Foster at rfoster@regerlaw.com or call 215-495-6500.