Unlike other types of auto insurance which are optional, liability is a requirement. Only one state out of 50 does not require it. That means 49 and the District of Columbia, do. Since so many people use it, many of them often have questions about it. Liability is very useful during an auto accident. Any of the expenses the other individual incurs, are covered by your liability insurance. All together, there are two types of liability auto insurance; property damage and bodily injury. Coincidentally, they are the things which are covered by liability.

Liability Insurance & What It Covers

Property Damage: Repairs which have to be made to another person’s car – or property – because of an accident you caused, are covered. The loss of such use of the property by the accident victim, is covered.

Bodily Injury Liability: Most accidents generally result in a person suffering bodily injury. Pain and suffering, lost of wages and medical expenses that are caused to the other person due to bodily injury from the accident, are covered. Moreover, in the event you are taken to court and sued, the coverage will absorb any court or legal costs.

The legal requirement of the amount of liability coverage you need or should have, varies state by state. There are options that allow you to obtain extra coverage. This will help protect you in higher degrees should you have an accident. But the cost of your premiums will be a bit higher. The actual amount of liability coverage you buy should be one that you can both afford and feel comfortable with. If you cause an accident, think of what amount you are able to pay out of your own pocket.

The limits of your liability insurance coverage are set by you. Every state has a minimum property damage and bodily injury coverage limitation. This is the amount you are required to buy. Still, purchasing additional coverage is an option you can select. The latter is important to keep in mind. That’s because anytime the costs are higher than what your liability insurance covers, you will have to pay the extra money yourself or out of your own pocket. Because of that, many people choose to purchase extra coverage than just their state’s required minimum coverage.

To get answers to any questions about these issues or others regarding liability auto insurance, get in touch with an agent near you.