In America auto insurance is compulsory and every motorist is expected to carry a minimum level of coverage. The benefits of insurance apart from protecting you against damage or loss, provides you with financial assistance to help you offset the cost of bodily injuries to yourself or others. It also makes provision for lost wages due to injury and gives out benefit to survivors when an accident results in death. Your policy help you offset cost of lawsuit brought against you as s result of accident.
To buy auto policy you need to compare quotes of several insurance companies to enable you get the right coverage at the cheapest rate in the market. Before you buy carry out research to understand the coverage you are to buy.
Auto insurance protection is categorized into four parts, liability, collision and comprehensive, medical payment and personal injury protection insurance, uninsured and under-insured motorist protection. You can research more on these for adequate knowledge.
In this article let’s take a look at what the liability insurance protects you against.
Liability insurance is divided into two, bodily injury and property damage liability. This covers you and your asset if you injure other people or damage their property.
If you are responsible for an accident in which someone is hurt or killed, bodily injury liability protects you. If your vehicle damages someone else’s property the property damage liability takes care of it.
Furthermore if you are legally liable for an accident, you may be held responsible for bodily injuries sustained by other people, their hospital and medical payments, cost of rehabilitation, loss of income or property damage. For this reason you must make sure you have sufficient liabilty coverage to protect you. If your cost of loss exceeds the amount of your liability coverage you may have to pay the excesses from your pocket.
To know the amount of liability coverage read through your policy. It usually describes the amount.
Assuming your liability coverage states the following 30,000/70,000/30,000. This example means that you are covered for a maximum of ,000 for bodily injuries to an injured person in the accident. ,000 covers for all bodily injuries irrespective of the number of injured persons and ,000 is your maximum for property damage. Sometimes your bodily injury and property damage liability mauy be combined as a single limit of 0,000.
Many states in America require drivers to carry a minimum amount of liability insurance of approximately 25,000/50,000/10,000. As explanied earlier, this means ,000 for injuries of one person, ,000 for total injuries and ,000 for property damage.
These figures are the maximum the insurance company will pay for liability. Any extra cost shall be your responsibility.
If you are buying auto policy, the information will guide you towards a good decision.
Visit my favorite sites: http://easybuyautoinsurance.com and http://easybuyhomeinsurance.com to compare multiple insurance quotes.
No comments:
Post a Comment