What Does Liability Insurance Cover?

Auto insurance is a major factor to consider when you start shopping for a new or used car in the Jefferson County area. Some insurance coverage is optional (like GAP insurance), while other coverages are required by law in most instances, such as auto liability insurance. 

So, what does liability insurance cover, exactly? Auto liability insurance includes bodily injury and property damage if you are at fault in an accident. If you want to know how does liability insurance work and what does liability coverage pay for? Keep reading below.

What Does Liability Coverage Pay For?

Bodily Injury

• Medical and hospital bills
• Long-term nursing care if needed
• Funeral expenses if an accident is fatal
• Rehabilitation
• Pain and suffering
• Lost earnings

Property Damage

• Repair expenses
• Necessary part replacement
• Vehicle damage
• General property damage (house, personal property, etc.)
• Pets

Take a closer look at the auto liability insurance definition and what does liability insurance cover.

How Does Liability Insurance Work?

As previously mentioned, liability insurance kicks in if you are at fault in a collision. That means the insurance pays for other people’s expenses if you cause an accident, but it won’t cover your medical bills or car repairs. You will have to add personal injury protection and/or collision insurance to your overall insurance plan to obtain more complete coverage. Get in touch with the finance experts at Suntrup Hyundai South for guidance on the right insurance coverage for you.

Auto Liability Insurance Definition: Coverage Limits

Now that you have an answer to how does liability insurance work, you might be asking about the limits to your coverage. Each state sets a minimum auto liability coverage limit for its residents. From there, you can adjust the limit based on your comfort level and net worth. Typically, coverage limits are classified as split or single. Here’s how they work:

• Split Limit: Select individual maximums for bodily injury payments per person, for all people injured, and for all property damage.
• Single Limit: Set a lump sum coverage limit that applies to all those injured and all property damage.

Learn More About Insurance Coverage at Suntrup Hyundai South

Now that you have an answer to what does liability coverage pay for, if you need more information, we’re here to help. Need more details about the auto liability insurance definition or what does liability insurance cover? 

The team at Suntrup Hyundai South can advise you about state guidelines, the appropriate coverage for your driving demands around St Louis, and more. Beyond what does liability insurance cover, visit our dealership near St Charles today for the latest Hyundai selections!