Liability coverage
Liability coverage, a fundamental insurance component, pays for damages or injuries you cause to others in incidents like auto accidents and property damage claims. State minimums require liability limits; for example, California mandates $15,000 per person and $30,000 per accident for bodily injury.
Bodily injury liability covers medical costs, such as ambulance fees or hospital bills, for injured third parties. Property damage liability compensates for repairs to vehicles or structures damaged in at-fault incidents, like fences or mailboxes.
Exclusions apply; most policies do not cover intentional acts or your own injuries–only those suffered by others. Policy limits set the maximum insurer payout per claim or accident; exceeding these can leave you personally responsible.
Split limit policies separate caps per person and incident, such as $25,000/$50,000 for bodily injury in Texas auto insurance, per the findings of YourInsuranceInfo. Umbrella liability insurance extends coverage beyond standard limits, often starting at $1 million for additional protection against lawsuits.
Liability coverage does not pay legal defense costs if excluded events occur–for example, criminal acts remain uninsured. Claims increase future premiums; Insurance Information Institute data show average rates rising 3–10% after an at-fault liability claim.
Can you obtain general liability insurance as an individual?
Yes, it is possible to obtain general liability insurance as an individual. General liability insurance is a type of coverage that provides protection for the insured against bodily injury, property damage or other liabilities arising from accidents or negligence. This type of insurance can be purchased from most major insurance providers and will typically cover…
How can one insure a condo?
The best way to insure a condo is to purchase a Condo Insurance policy. This type of insurance provides coverage for the building, its common areas and personal belongings against losses caused by theft, fire, or other disasters. It also includes liability protection in case someone is injured on the property or another person’s property…
How much does motorcycle insurance cost?
Motorcycle insurance costs vary widely depending on the type of bike, the rider’s location and driving history, the coverage selected, and other factors. Generally speaking, minimum liability motorcycle insurance policies start around $75 to $150 per year in most states. Premiums can range up to several thousand dollars annually for more comprehensive coverage or custom…
What does State Farm’s umbrella insurance cover?
Umbrella insurance from State Farm provides extra liability coverage beyond what is offered in the standard auto and homeowners policies. It offers protection from personal injury or property damage caused by negligence for which you are liable, such as libel and slander, bodily injury claims arising out of any event that takes place on your…
How much renters insurance is required?
The amount of renters insurance that is required depends on the individual’s circumstances. Generally, liability coverage should be at least $100,000 in most states and property coverage should cover all possessions owned by the renter. It is also recommended to have a minimum of $10,000 in medical payments and living expenses coverage in case of…
Should I buy home insurance?
Yes, you should buy home insurance. It can provide financial protection for your property if it is damaged or destroyed by natural disasters or other unexpected events. Home insurance can also help cover medical costs if someone is injured on your property and may even offer liability coverage to protect you from any legal action…
What does commercial property insurance cover?
Commercial property insurance is a type of insurance that provides financial protection to businesses from losses or damage caused by unexpected events. It covers the physical structure of a business, such as the building, fixtures, furniture, and equipment inside it; inventory on-site; signage outside the building; computers and other electronic devices; outdoor displays and items;…
Do all businesses need insurance?
Yes, all businesses need insurance. Businesses operate in an uncertain environment and risk is a daily occurrence. Insurance provides the financial protection for businesses against loss or damage due to unforeseen circumstances. Having adequate coverage helps businesses manage their liability and potential losses, ensuring they stay financially secure throughout their operations. Certain types of insurance…
How much does insurance cost for a wedding venue?
The cost of insurance for a wedding venue depends on several factors, including the type of coverage required, the size of the venue, and any additional risks. Typically, a standard liability policy for an indoor wedding can range from $125 to $500 per event depending on these factors. If the venue is outdoors or holds…
What is Infinity Insurance?
Infinity Insurance is an automobile insurance provider that offers personal auto and commercial auto coverage options to its customers. It provides services such as liability coverage, collision coverage, comprehensive coverage, roadside assistance, rental reimbursement, and more. The company has been providing quality customer service for over 60 years in the United States and was founded…
What is indemnity insurance?
Indemnity insurance is a type of financial protection designed to shield an insured party from liability arising out of a certain event. It covers losses, damages and legal costs incurred by the insured as a result of negligence or any other wrongful action. Indemnity insurance usually applies when a party (insured) has been found liable…
See also Liability coverage for dog walkers.