Important Matters About Auto Liability Insurance You Need to Know

You can think of liability insurance as the starting point for purchasing auto insurance. As a matter of fact, you won't be able to buy additional coverages such as comprehension, collision and medical payment coverages without it. Additionally, in most states all car owners are required by the law to have auto liability insurance.

What's so amazing about auto liability insurance is that it can spare you from paying out of your pocket steep expenses that may result from an accident in which you're the one who is at fault. Yes, that's the operative phrase: you're the one at fault. That is why one very important step that has to be taken when making a claim is proving that you are responsible for the accident.

Just because you're the one who's at fault doesn't necessarily mean that you won't end up with an injury - no matter who's to blame, an accident can result in the injury of all parties involved.

Sadly, if the accident in which you're at fault resulted in your injury your auto liability insurance coverage would not cover your medical needs such as emergency treatment and subsequent checkups. In order for those to be covered by your auto insurance, you will need to have the likes of personal injury protection and medical payments coverages. But as mentioned earlier, you will have to have auto liability coverage beforehand.

Auto liability insurance is actually made up of a couple of auto coverages:

  • Bodily injury liability protection. It's not unlikely for a car accident to result in the injury of the drivers and their passengers. If proven that you are the one at fault, this type of auto liability insurance coverage applies to the medical expenses (emergency services, hospital care, follow-up hospital visits and other associated costs like buying a wheelchair or neck brace) of the other party as a result of injuries. There are instances, too, in which it may take care of the legal fees just in case the other party or his or her auto insurance company chooses to slap you with a lawsuit, or cover lost wages and income.
  • Property damage liability protection. Just like what the name suggests, it applies to damages incurred by the other party's vehicle stemming from a covered accident wherein you're the one who is accountable for. It may pay for the repair or even replacement of the car you have damaged. Similarly, this particular coverage covers repair of property damaged because of the accident, such as a phone post, fence or any other structure. Your auto insurance company will work together with the auto insurance company of the other individual in determining whether or not you're the one who is at fault.

Let's take a look at some of the most commonly asked questions on auto liability insurance:

Do I Need to Purchase Auto Liability Insurance?

Yes, it's important that you get your hands on it. In the US, in every single state it is required for a car owner to have a certain amount of liability insurance - this is what's oftentimes known as "minimum coverage". Do take note that it's possible for you opt for an amount larger than what your state requires.

How Much Does It Cost to Buy Auto Liability Insurance Coverage?

Various factors will serve as role players when it's time for your auto insurance company to determine the amount of monthly premiums you will have to pay for purchasing auto liability insurance coverage. Some examples of those are your driving habits, type of car used, marital status, age, geographical location and credit history.

Are There Limits to This Type of Auto Insurance?

Yes, there is a limit to the amount your auto insurance coverage will pay for. It's actually broken down into 3 amounts: per person limit (bodily injury), per incident limit (bodily injury) and property damage limit. Usually, limits on bodily injury per incident is higher as medical expenses can add up very quickly.

What Should I Do to Also Protect Myself Even If I'm at Fault?

Unfortunately, as earlier mentioned auto liability insurance only covers repairs or replacement of the car of the other party (or repair of damaged property) if you're the one responsible for the accident. If you want something that can work to your advantage even if you're at fault, you will need to purchase optional/additional coverages.

Potential Rate Discounts

If you qualify for discounts, you may save the amounts shown below.

Discount Savings
Multi-policy $64
Multi-vehicle $61
Homeowner $17
5-yr Accident Free $81
5-yr Claim Free $86
Paid in Full/EFT $47
Advance Quote $66
Online Quote $94

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Discounts are estimated and may not be available from every company or in every state.

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