EditorialWe asks,I am not proposing being irresponsible. I am asking what the decision on liability limits is supposed to be based on. Since I don't think it's possible to buy coverage for infinite liability, and since I am *guessing* it's not appropriate for us to be covered for a million dollars with a net worth of $20K, I was hoping for a straight answer to my question.We don't own a home or indeed anything of much value.There's two ways to approach this:1) One rule of thumb is to have liability coverage equal to twice your net worth. That would be about $40k in your case.2) The other is what's reasonable. You probably wouldn't want to pay the cost of insuring yourself against the multi-million dollar liability of crashing into a school bus full of children. That's an unlikely event. However, you don't need a very big accident to have $100k to $200k in damages. Maybe $250k liability coverage is a good compromise.intercst
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