What Does Liability Insurance Cover?

Liability insurance helps cover both bodily injury and property damage to the other person should you be held responsible for an accident. It’s required by law in most states, so check the specific requirements if you’re in Lima. Learn more about the auto liability insurance definition with Exceptional Motorcar below and contact us if you have any questions.

How Does Liability Insurance Work?

So how does liability insurance work? What does liability coverage pay for? Bodily injury and property damage are separate, but they both fall into your overall liability coverage. Each set has their own limits set by the state. Liability insurance covers the following:

Bodily Injury

• Rehab
• Lost earnings
• Pain and suffering
• Medical and hospital bills
• Any long-term nursing care that may be needed
• Funeral expenses in the event of a fatal accident

Property Damage

• Pets
• Vehicle damage
• Repair expenses
• Necessary part replacement
• General property damage (house, personal property, etc.)

It’s important to keep in mind that this coverage is for the victim of the accident, not the person at fault. Make sure to set proper limits on your liability coverage that align with how much you’re able to offer.

Limits of Liability Coverage

When talking to your Toledo agent, make sure to discuss coverage limits. There are different types of limits that divide how the money is paid if there is an accident. Here’s a summary:

• A split limit will allow you to select individual maximums for bodily injury payments per person, for all people injured, and all property damage
• With a single limit, there is no total limit per person, the lump sum will simply be spread across all those injured and all property damaged

Learn More About Insurance Coverage at Exceptional Motorcar

If you’d like to clarify what your insurance coverage is, call our finance department. Insurance is a part of purchasing a vehicle, so it’s important that you know what’s included. Schedule an appointment with us today!