What Does Liability Insurance Cover?
Bodily injury liability and property damage liability coverages provide compensation for injuries to others, related legal expenses and damage your vehicle does to another person’s property if you cause an accident.
What Is Bodily Injury Liability Coverage?
Your bodily injury liability covers the costs associated with the covered injuries you may have caused to other people in that accident, and also provides for a legal defense if you're sued. Bodily injury liability covers injury to people, up to the policy limits.
What is Property Damage Liability Coverage?
If you're in an accident in which you're at fault, your property damage liability pays for the covered damage you've caused to the other car and provides you with legal defense if the other party files a lawsuit against you. You should have enough property liability insurance to cover the amount of damage your car might do to another vehicle or an object such as a building or piece of equipment.
Liability coverage is the most important protection a driver can have. If you are found legally responsible for damages resulting from an accident, this coverage may pay up to the limit you select.
Choose your limits wisely, as you will be personally responsible to cover any costs above the limit. If more coverage is needed to protect your personal assets, consider an umbrella policy.
Covered expenses for anyone injured in an accident — including passengers in your car, passengers in another car and pedestrians — can include:
· Hospital and medical bills
· Lost wages
· Pain and suffering
· Rehabilitation services
· In-home health care services
· Legal fees
· Bail bonds
· Court costs