What is Liability Auto Coverage?

Answer:
All fifty states have some sort of financial responsibility

laws when it comes to auto accidents. Most require liability auto coverage as part of this financial responsibility. But what exactly is liability coverage?

Liability auto insurance coverage protects you from having to pay the costs of any damage or injuries that you caused to someone else or their property due to an auto accident. Your insurance policy will have two sections of liability insurance: bodily injury and property damage.

Bodily injury liability coverage protects you from personal injury claims such as medical care for injuries suffered while property damage protects you from having to pay for car repairs and other damage that you caused.

Your policy will list the liability limits using a split limit format such as 50/100/25. The first number represents the policy limits for bodily injury done to an individual (in this case $50,000). The second number represents the policy limits for bodily injury to everyone involved (in this case $100,000). The third number represents the policy limits for property damage (in this case $25,000).


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