What Does Liability Insurance Cover?

What Does Liability Insurance Cover?

Many Truck Ranch customers have asked, “What does liability insurance cover?” and “How does liability insurance work?” Most states require all drivers to carry auto liability insurance on their vehicle, which covers bodily injury and property damage. That means your insurance covers any costs from injuries to other people in the event of an accident or property damage around Logan when you are at fault. What does liability coverage pay for? Find out here in this guide from Truck Ranch, and if you have questions, contact us. 

How Does Liability Insurance Work?

Now that you know the auto liability insurance definition, we’ll answer the question, “How does liability insurance work?” While both bodily injury and property damage are covered in your liability insurance, each has its own set limits. Your state typically sets minimum coverage limits, but you can have your own limitations based on your comfort level and specific needs while driving around the Logan area. Liability insurance covers the following:

Bodily Injury

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

Property Damage

• Damage to your new or used truck
• Repair expenses
• Necessary part replacement
• General property damage (house, personal property, etc.)
• Injuries to your pets

It’s important to remember that the main elements in liability coverage cover the accident’s victim(s) and not the driver that caused the collision. 

Liability Coverage Insurance Limits

When discussing, “What does liability insurance cover?” with your insurance agent, make sure you discuss coverage limits. Limits can either be split or lumped together. Here’s how it works:

• With a single limit, there is no total limit per person. The lump-sum is spread across all those injured and all property damaged
• A split limit will allow you to select individual maximums for bodily injury payments per person, for all people injured, and all property damage

Learn More About Auto Insurance Coverage at Truck Ranch

You can learn more than the auto liability insurance definition from the finance specialists at Truck Ranch near American Fork. Purchasing a new or used Chrysler, Jeep, or Dodge truck means properly reviewing and comprehending all of your financing and auto insurance options. If you have any questions, contact us, or visit the dealership today!