What Is Liability Insurance?
If you are at fault in a car accident, liability insurance pays for the damages that you cause to someone else. It does not pay for your own damages. There are two kinds of liability insurance: bodily injury and property damage. Bodily injury expenses include medical bills, rehabilitation expenses, and lost wages. Property damage expenses include the repair or replacement of any items belonging to another person that you damage or destroy.
Every state except Mississippi, New Hampshire, Tennessee and Wisconsin requires some level of liability coverage. To find out what your state requires, you can check with your state department of insurance, or you can refer to http://www.insure.com/auto/. There you can find information about minimum coverage requirements, along with links to websites maintained by each state's department of insurance.
Who Is Usually Covered By Automobile Liability Insurance?
Liability insurance usually covers the following people:
Named insured. This is the person or people named in the policy, no matter what car they are driving.
Spouse. Even if the spouse of the named insured is not named on a policy, liability insurance almost always covers him or her, unless the couple does not live together.
Other relative. This refers to anyone living in the household with the named insured who is related to the insured by blood, marriage or adoption, usually including a legal ward or foster child.
Anyone driving the insured vehicle with permission. Someone who steals the car is not covered.
Which Vehicles Are Normally Covered Under An Auto Insurance Liability Policy?
Named vehicles. An accident in a non-named vehicle is covered only if a named insured (see above) was driving.
Added vehicles. This includes any vehicle with which the named insured replaces the original named vehicle, and any additional vehicle the named insured owns during the policy period (you may be required to notify the company of the new or different vehicle within 30 days after you acquire it).
Temporary vehicles. A temporary vehicle is any vehicle, including a rental vehicle, that substitutes for an insured vehicle that is out of use because it needs repair or service, or has been destroyed.
DISCLAIMER: This site and any information contained herein are intended for informational purposes only and should not be construed as legal advice. Seek competent legal counsel for advice on any legal matter.
- Violent Crash at Marion Oaks Intersection Results in Single Fatality
May 30, 2020
- FHP Investigates Single-Vehicle Crash and Fatality in Lake County
May 7, 2020
- One Dead After Driver Falls Asleep in Orange County
April 15, 2020
- Narrow Escape from Burning Truck Aided by Good Samaritans
February 17, 2020
- Elderly Pedestrian Killed After Being Struck by Two Cars in Brevard County
November 14, 2019
- business5Walt Disney World Claims Department Employee
“I was involved in a motor vehicle accident where the other driver ran a red light and my car was a total loss. I was referred to James Cunningham due to the fact that our attorney’s have been very impressed with James Cunningham’s work. This fact turned out to be very true as Mr. Cunningham helped me win my case to a full and maximum settlement.”
- a Personal Injury client0.3