By Jose Leon | Thoughts on Innovation
Car accidents are an unfortunate reality of life in the Phoenix metropolitan area.
When they happen, the impact is rarely limited to vehicle damage. Injured drivers and passengers often find themselves facing physical pain, emotional stress, and financial uncertainty — all at once.
As a personal injury attorney, I see firsthand how much confusion surrounds auto insurance coverage in Arizona. Many people believe they are protected simply because they carry “full coverage” or the state‑required minimums. Others assume that if they’re injured, the other driver’s insurance will take care of everything.
That assumption is one of the most dangerous misconceptions I encounter.
We are living in a time when more people than ever are underinsured—not intentionally, but unknowingly. Insurance policies that once seemed sufficient no longer align with today’s medical costs, wage losses, or financial realities. For middle‑class families in particular, that gap can be devastating.
Arizona law requires drivers to carry liability insurance, but the minimums are modest. Currently, drivers must carry $25,000 in bodily injury coverage per person, $50,000 per accident, and $15,000 for property damage. Those numbers may sound reasonable—until you consider what even a modest emergency room visit or short hospital stay can cost.
Here’s the uncomfortable truth: complying with the law does not necessarily mean you are financially protected.
If you are struck by a driver who carries only minimum coverage—or no insurance at all—you may be left without adequate compensation unless you’ve taken steps to protect yourself. And if you are the at‑fault driver in a serious accident, your own assets could be exposed if your coverage doesn’t match your financial reality.
People often overlook how their circumstances change over time. As we age, build careers, accumulate savings, buy homes, or grow businesses, our net worth changes. Yet many people never adjust their auto insurance to reflect that growth.
In Arizona, if you have substantial assets but maintain minimum coverage, and you cause a severe injury—such as paralysis—you may face personal exposure well beyond your policy limits. In those cases, an attorney representing the injured party can pursue an excess judgment because the coverage you chose doesn’t reasonably protect others from the harm caused.
Insurance is not just about compliance. It’s about responsibility.
Another area of confusion involves medical treatment after a crash. Many people assume auto insurance will immediately cover all medical costs. In practice, car insurance operates largely as reimbursement. Health insurance often must step in first to cover treatment, and later be reimbursed through the injury claim.
Without proper planning, medical bills can mount quickly. High deductibles, uncovered procedures, and liens can erode a settlement before an injured person ever sees it. This is where early legal guidance becomes critical—not just to pursue compensation, but to coordinate benefits strategically and lawfully.
One of the most effective protections for Arizona drivers is underinsured and uninsured motorist coverage. These provisions allow you to step into the shoes of the at‑fault driver when they lack sufficient insurance—or have none at all. Without this coverage, your recovery is limited by someone else’s poor choices.
I consistently advise clients to mirror their liability coverage. In other words, if you insure yourself against harming others at a certain level, you should insure yourself at that same level in case they harm you. This approach protects your income, your savings, and your family’s stability.
Personal injury claims often unfold over months, not days. The full extent of injuries — and their financial impact — may not be clear until treatment is complete. Once a claim is settled, there is no second chance. Every decision made during treatment and negotiation affects the final outcome.
That’s why understanding your insurance before an accident happens is just as important as hiring the right attorney afterward.
While state requirements provide a baseline, real protection comes from thoughtful coverage decisions, regular policy reviews, and informed legal counsel. For most Arizona drivers, especially those in the middle class, taking these steps isn’t about fear—it’s about foresight.
In today’s environment, being properly insured isn’t optional. It’s essential.
Leon Law has three locations in Arizona:
Phoenix: 20 E. Thomas Rd, Suite 2200, Phoenix AZ 85012
Peoria: 16165 N. 83rd Ave, Suite 200, Peoria, AZ 85382
Tucson: 1 South Church Ave Suite 1200 Tucson AZ 85701
