Liability car insurance is a type of auto insurance coverage that pays for damages or injuries you cause to other people and their property in an accident. This coverage is typically required by law in most states, and is designed to protect both you and other drivers on the road.
Liability insurance is divided into two types: bodily injury liability and property damage liability. Bodily injury liability covers the cost of medical expenses, lost wages, and other damages if you cause an accident that injures another person. Property damage liability covers the cost of repairs or replacement of another person's property, such as their car, fence, or home, if you cause an accident that damages their property.
Liability insurance does not cover damage to your own vehicle or injuries you sustain in an accident. For that, you may need additional coverage, such as collision insurance or personal injury protection (PIP).
The amount of liability coverage you need depends on several factors, including the value of your assets, your income, and the minimum insurance requirements in your state. Most states require a minimum amount of liability insurance, but you may want to purchase additional coverage for added protection.
It's important to note that liability insurance only covers damages or injuries you cause to others. If you are at fault for an accident and the cost of damages exceeds your policy limits, you may be held personally liable for the remaining costs. For this reason, it's a good idea to consider purchasing higher limits of liability insurance if you can afford it.
In summary, liability car insurance is a type of coverage that pays for damages or injuries you cause to other people and their property in an accident. It's an important type of coverage to have, as it can protect you from financial losses if you are found to be at fault in an accident.
