Plain Talk Series: A Basic Explanation of Your Auto Insurance Policy-Liability

Liability Insurance Coverage

The “declaration page” of your insurance policy lists the different types of insurance coverages available under your particular insurance policy. In other words, the declaration page is a basic summary of the insurance coverages that you pay for as part of your insurance premium. An explanation (in plain English) of the different types of liability insurance coverages is below:

Bodily Injury Liability Insurance Coverage: This protects you if you are found legally responsible for the bodily injury of another person resulting from an auto accident. You are protected up to the policy limit that you select on your auto insurance policy. The minimum amount of bodily injury liability coverage in Georgia is $25,000.00 per person; $50,000.00 per accident.

As an example, if you had the minimum limits of $25,000.00/$50,000.00, any one person can collect up to $25,000.00 for their injuries from your insurance company. If you were legally responsible for the injuries of more than one person, each person could collect up to $25,000.00 but your insurance company will not pay more than $50,000.00 for everyone’s injuries combined.

Property Damage Liability Insurance Coverage: This protects you if you are found legally responsible for the damage to someone else’s property resulting from an auto accident. You are protected up to the policy limit that you select on your auto insurance policy. The minimum amount of property damage liability coverage in Georgia is $25,000.00 per accident.

As an example, if you had the minimum limits of $25,000.00 and were legally responsible for the damages to another person’s property resulting from an auto accident, that person could collect up to $25,000.00 from your insurance company for their damaged property.

Additional information is available through the Georgia Office of Insurance and Safety Fire Commissioner (http://www.oci.ga.gov/ConsumerService/AutoInsurance.aspx).

You have rights. Know them and protect them.

For more information about this article, contact Kaine Law.