These days, everyone is looking for ways to save money any way they can. While your car insurance may feel like a steal now, it will feel like a robbery after a wreck.

Cheap premiums come with some unexpected surprises, including a higher deductible, lower payout limits, and fewer protections when things go wrong.

State Minimums=Maximum Headache

State minimums are designed to keep you legal, not protected. They’re basically the insurance equivalent of a football player wearing a helmet with no padding. Medical bills add up quickly, vehicle repairs cost significantly more than you think, and a serious accident will have you exceeding the maximum limits faster than a Dodge Charger on I-10.

Gaps in your coverage

Budget policies often significantly limit, or completely exclude, uninsured and underinsured motorist coverage. Believe me. With the number of uninsured drivers on Louisiana roads, that’s a gamble you don’t want to take. You’ll also want to look at your medical payments coverage and rental car reimbursement. You won’t notice what’s missing until you need it.

Check the Deductibles

The premium shouldn’t be the only number you look at. A lower premium often means a higher deductible. That means you pay more out of pocket before insurance kicks in. Saving $20 a month doesn’t feel great when you’re having to pay thousands out of pocket.

Budget Coverage Providers Are Cheap for a Reason

If you find yourself with a budget insurance provider, read up on them. They’re not saving money on premiums, so they’ll find ways to save elsewhere. These companies often fight harder over liability, delay claims, or minimize payouts. Cheap insurance isn’t generous. It’s strategic.

Louisiana Minimums and the Risks

In Louisiana, every driver is required to carry a minimum liability policy with limits of $15,000 per person and $30,000 per accident for bodily injury, plus $25,000 for property damage if at fault. They’re often referred to as 15/30/25. These minimums only help pay for others’ medical bills and property damage. In the real world, this coverage leaves you woefully underprotected in a crash. When you add up medical costs, repair bills, and even a moderate accident can exceed coverage. Pinching pennies on your coverage could expose you and your family to significant financial risk that you may not be able to financially recover from.

What should you do?

This isn’t about fear. It’s about foresight. The smartest moves happen long before the accident. Pull your declarations page. Don’t guess. Review the numbers and coverages. Know your areas of risk. Ask yourself, “Would this fully protect me in a serious accident?” If you’re uncertain, do some research. Review your coverage annually. Your life changes regularly. Your old policy may no longer align with your current situation. Consider your family, job, travel schedule, and the current economic conditions to determine what fits you now. Get a second set of eyes on it. Review your policy with someone you trust or your insurance agent. Yes, upselling is a concern, but with adequate research, you will make an informed decision.