How much car insurance do I actually need?

If you are an unsafe driver (as you say you are) then I would load up on liability insurance, you're going to need it someday. How much is your car worth? it seems like a car that old it wouldn't make sense to get comprehensive, it might be cheaper to replace it if/when you have an accident.

Good answer! You need to protect your future earnings from garnishment should you lose a lawsuit and have to pay.

In my family, we keep comprehensive on my car, my dad's car and my mother's car because all are less than a year old. On my sister's car (my old '95 Sidekick), we keep liability only because its not worth fixing the car as we can replace it if it were totalled.

It depends on the amount of assets you have and whether you can file for bankruptcy. Bankruptcy laws may or may not help you based on your income and assets, which is slightly complicated. If you are "judgment proof," you can get away with minimum coverage because they won't be able to touch you. However, keep in mind that judgments can be valid for quite some time and are often renewable, so if you acquite significant assets in the future or inherit money, they can still come after you.

And this leads into complicated legal waters. There are lots of factors to consider, so it is difficult to give a definitive answer.

Legally, it is OK to carry the minimum, then declare bankruptcy if you're found liable for a large sum or lie low if you're judgment proof.

But is that ethically alright? I'm not so sure. I carry a large liability policy because I don't want my future earnings or assets tapped. Also, if I do something truly stupid, I think the right thing is for the insurance company to cover all of my damages. If I accidentally hurt someone, they deserve to have their medical bills covered and their car repaired or replaced.

So while I can get by with minimums, I pay extra to ensure that I'm protected and that the right thing is done in case of my negligence.

And not to be a complete wet blanket, but I also found it worthwhile to tone down my driving. I took itndown a few notches after my last speeding ticket in 1999 (I don't want to pay the fines) and especially after a bloody mess of a car accident in 2004. I wasn't responsible (the other guy got four years of prison for nearly killing me) I decided it was worth driving conservatively and getting there late. I still have fun now and then, but usually on deserted roads with no law encorcement and great driving conditions. But I won't risk it on the commute or in normal traffic.

Lots and lots.