Property Damage Liability covers damage to the property of others, as a result of an automobile accident, that is determined to be your fault. This property may be another car or other property that is damaged at the site of the accident.
Most states require a minimum level of property of others, as a result of an automobile accident, that is determined to be your fault. This property may be another car or other property that is damaged at the site of the accident.
Most states require a minimum level of property liability damage coverage. However, state minimums are often too low to cover the cost of replacing one or more vehicles. It is important to understand that if an accident is determined to be your fault and the cost to fix or replace the property damaged in the accident exceeds the amount of insurance you carry, the balance of the cost is your responsibility. It’s especially important to have adequate liability coverage if you own a home or have other assets.
When limits of liability are discussed they are usually discussed in terms of 50/100, 100/300 or 250/500 (or even more). For example 50/100 means that the limit of liability is $50,000 per person or $100,000 for the entire occurrence.
