Here is an actual scenario. A driver was leaving a parking lot at night but did not notice two pedestrians that were walking and ended up hitting both of them. Unfortunately the pedestrians were seriously injured and they sued the driver and owner of the car. Usually the driver's auto insurance would cover these expenses but that policy did not have enough liability coverage. For the owner of the car, this was particularly concerning because she had a house that could be affected. Eventually, the lawsuit was settled with the driver and owner paying out of their own pocket for the additional costs. This example is the reason why it’s a good idea to increase your liability limits. And in some cases, you can even buy an Umbrella policy that can extend the liability limits for your auto and home insurance to even higher levels...such as $1,000,000 or more. In the end, having higher liability coverage can avoid a more serious accident from affecting you and your family financially.