Liability car insurance coverage is a type of car insurance policy that helps protect you as a driver from financial responsibility if you cause an accident that results in property damage or bodily injury to another person on the road.
This type of coverage is required in most states, and it typically covers the other driver’s medical expenses, lost wages, and property damage. It does not cover your medical expenses or damage to your vehicle.
If you are at fault in an accident, you may be required to pay a deductible before your insurance company will cover the other driver’s expenses. Liability car insurance is typically the most affordable type of car insurance.
Types of Liability Car Insurance Coverage
There are three main types of liability car insurance coverage:
- Bodily injury liability covers medical expenses, lost wages, and funeral expenses for the other driver and their passengers if you are at fault in an accident.
- Property damage liability: This covers damage to the other driver’s vehicle and any other property damaged in an accident you cause.
- Uninsured/underinsured motorist: This covers you and your passengers if an uninsured or underinsured driver hits you. It also covers you if you are the victim of a hit-and-run accident.
These are the primary coverages.
Pros of Liability Car Insurance Coverage
There are several benefits to having liability car insurance coverage, including:
- Financial protection.
- Legal protection.
- Peace of mind.
- Higher liability limits.
- Protection for others.
There are several other perks of having this type of coverage.
Cons of Liability Car Insurance Coverage
There are a few drawbacks to consider when it comes to liability car insurance coverage, such as:
- Limited coverage.
- Limited protection for yourself.
- Higher premiums.
These are some of the cons of this insurance policy.
Factors That Affect the Cost of Liability Car Insurance Coverage
Several factors can affect the cost of your insurance coverage. Some of the most common factors include:
- Driving record.
- Vehicle type.
Listed above are just a few factors that can affect the cost.
Top 10 Companies That Offer Liability Car Insurance Coverage
Many companies offer liability car insurance coverage, but some of the most popular options include:
- State Farm.
- Liberty Mutual.
- Erie Insurance.
- The Hartford.
Each of these companies has unique offerings, so compare rates and coverage options to find the best fit for your needs. You can also check with your state’s Department of Insurance to see if any local providers may offer more competitive rates.
How to Apply for Liability Car Insurance Coverage Online
Applying online is a simple process. Here is what you will need to do:
- Gather your information: Before filling out the application, you must have some basic information handy, including your name, address, and driver’s license number.
- Shop around: Once your information is ready, you can shop for quotes from different insurers. Some top companies that offer liability car insurance include GEICO, Progressive, Allstate, State Farm, Nationwide, etc. You can use a comparison website to get quotes from multiple companies simultaneously.
- Fill out the application: After finding a quote you like, you will need to fill out the application.
Then, you can activate your policy to pay your premium.
Frequently Asked Questions
Here are some frequently asked questions.
What Does Liability Car Insurance Cover?
Liability car insurance covers damage to other people’s property or injuries to other people if you are found at fault in an accident.
How Much Liability Car Insurance Do I Need?
Most states require drivers to have a minimum liability car insurance coverage. The specific amount varies by state, so you’ll need to check with your state’s Department of Insurance to determine the minimum requirements.
Does Liability Car Insurance Cover Rental Cars?
Most liability car insurance policies will cover rental cars, but it’s always a good idea to check with your insurer to be sure.
Does Liability Car Insurance Cover Accidents That Occur Out of State?
Most policies will cover accidents that occur out of state, but again, confirming with your insurer is a good idea.
Liability car insurance is an essential type of coverage that can help protect you financially in an accident. It is necessary to understand what it covers and how much you need to ensure you’re adequately protected. You can find the best policy for your needs and budget by shopping around and comparing quotes. You can hit the road with peace of mind with the right coverage.