What Does Liability Insurance Cover?

Required by law in most American states, Auto Liability Insurance represents a two-fold plan, covering bodily injury and property damage. While these are separate, both are a legal requirement while driving around Blasdell Yet, we’ve gotten a lot of questions at Robert Basil Buick GMC about what liability insurance covers.

“How does liability insurance work?” and “What does liability coverage pay for?” being among the more common questions we’ve received. If you want a proper auto liability insurance definition, read on to see our handy guide. By the end, you’ll be able to answer, What does liability insurance cover?

How Does Liability Insurance Work?

So how does liability insurance work? While both bodily injury and property damage fall into your overall liability damage, each has their limits. There are minimum limits set within the state you live, however you’ll also be able to set your own individual limits as well. Liability insurance covers the following:

Bodily Injury

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

Property Damage

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

Remember when asking what does liability coverage pay for, that this is for the victim of the accident and not the at-fault driver. It’s important to set your own limits based on the liability insurance coverage that aligns with however much you’re able to offer.

Liability Coverage Limits

Another major component when discussing an auto liability insurance definition is the coverage limits. Limits can be either split, or housed as a single limit. Here’s how this breaks down for Orchard Park and West Seneca drivers:

• A Split Limit will allow you to select individual maximums for bodily injury payments per person, for all people injured, or for all property damage.
• With a Single Limit, there is no total limit per individual, the lump sum is then spread across all those ingested and everyone with damaged property.

Learn More About Insurance Coverage at Robert Basil Buick GMC

Now that you have a general understanding of what does liability insurance cover, consider a vehicle selection with Robert Basil Buick GMC. Check out our new, used, and certified pre-owned cars to find one that best meets your needs and budget. If you’re debating buying or leasing, you can also read our post covering both topics. Whether you live in Orchard Park or coming from Blasdell, we have the cars you need at Robert Basil Buick GMC. See you shortly!