Property damage liability coverage is a part of car insurance. It pays to repair the damages you cause to other people’s property or vehicles if they’re at fault for an accident with your vehicle and vice versa. 

This type of auto policy has been required by law in most states, but only some cover both accidents caused by either party; it varies state-by-state which one covers what.”

Property damage liability coverage does not typically cover damages to your car. Collision insurance may be a good alternative for those who want the peace of mind that comes with being covered if something goes wrong while driving their vehicle.

HOW MUCH PROPERTY DAMAGE LIABILITY YOU REQUIRE

Every state needs a driver to have specific insurance coverage to drive. Ensure that you are covered with liability and bodily injury by carrying the appropriate amount of insurance for your needs! 

The mandatory coverage limits contradict from state to state. For example, California drivers are required to have at least $5,000 of property damage liability coverage. In contrast, Texas requires a minimum amount for property damage liability of $25,000, and Nevada has an even higher requirement set as the lowest limit is 10K dollars.

A limit is a maximum amount your policy will pay for a covered claim. You can choose this when you buy car insurance, or adjust it later with help from our agent.

CONSIDER YOUR PROPERTY DAMAGE LIABILITY LIMITS

When you purchase auto insurance, it’s possible to select a higher limit of liability than the minimum set by your state if needed. For example, let’s say that to meet their $10,000 coverage maximum offered by their particular state, an individual would have to pay up-front for any damages they may cause over and above this amount; however with the option of purchasing more limits from time as need be there is less risk involved because they can continue paying out-of-pocket until exceeding their max.

The higher you set your coverage limits, the more expensive insurance will likely be. As you consider how high to go with this decision, speak to an agent about what’s most appropriate for where and who needs it.

FAQ’s

What is the difference between collision and property damage insurance?

Property damage liability coverage often pays for the cost to repair any damages you cause, like if your car accidentally hits someone else’s. Collision insurance will pay less of this cost because it only covers repairs on your vehicle and not what others may incur in such accidents.

Does full coverage car insurance cover property damage?

Full coverage car insurance means having all of the main parts cars plans. You’re typically legally required to carry about half those coverages, including Bodily Injury, Property Damage, Uninsured Motorist, and PIP.

Is there a deductible for property damage?

Deductibles are different for property damage and liability, so it’s essential to clarify which one you’re dealing with.

Is it better to have comprehensive or the collision insurance?

Collision coverage is a must for any vehicle owner. Comprehensive insurance also comes in handy when you need it outside of accidents, like if your car sustains damage from weather or fire. It’s crucial to have comprehensive insurance so that you don’t get stuck paying the high costs just because an animal ran into your bumper!

Owner at | Website | More Articles

Imelda worked for a decade in finance, in an international Fintech company where she experienced all the best technology and advancement can offer finance companies. This inspired her to create a platform where she may help others who can make good use of sound business ideas that may help businesses flourish.
Imelda worked for a decade in finance, in an international Fintech company where she experienced all the best technology and advancement can offer finance companies. This inspired her to create a platform where she may help others who can make good use of sound business ideas that may help businesses flourish.