Originally Posted by DrPete
I'm in a similar situation right now with a little fender bender. I rear-ended someone at low speed--no ambulance, no police report. My insurance company paid out less than $800 fixing the car I hit. Now I'm getting sued for $1,000,000 in damages. Hopefully it'll end in a settlement, but it's still costing me some sleep until it's taken care of.
Suffice it to say that I'll ALWAYS be filing a report now...
Buy an umbrella policy, with at least $2 million in liability coverage. You may not have much in the way of assets now but you will, and anyone with a decent income, and some assets should have one. They're relatively cheap. Moreover, you can then buy uninsured inderinsured motorists coverage up to your liability limits to protect yourself from un and underinsured drivers.