FAQs: Property Damage Liability Coverage

Getting into a car accident is an awful experience to go through. To make it worse, not having the proper coverage on your policy can add extra layers of stress to the situation. Therefore it’s important to know what property damage liability coverage is and why it’s important to have on your auto policy. The following FAQ (Frequently Asked Questions) provide some insight on when the coverage will be useful as an insured driver.

What does property damage liability coverage do?

In the event you get into an accident and are the at fault driver, the damages the other car sustained in the crash would be covered under your policy. Keep in mind that the damages that are to be paid are within your limits of the policy. For example if your policy has a $500,000 liability limit any damages exceeding that amount you will be expected to pay out.

Does property damage liability coverage only cover damages to a vehicle?

No. In addition to damages the vehicle sustained in an accident legal fees can also be taken care of under the coverage as well. Suppose as a result of the accident the other driver decides to press charges and sues you. The fees with hiring a lawyer can accumulate quickly, so why not have the coverage available on your policy in the event of a lawsuit?

What does property damage liability coverage protect?

In the event you are found liable for damages, your vehicle and wallet may not be the only things at stake. If you have a great deal of assets (House/Boat/Land) they could be at risk as well if your coverage is set to a limited amount. That’s where having an umbrella policy will come useful. If you’re found liable for damages the limits of your insurance cover only so much, having an umbrella policy for the extra layer of coverage will help maintain all assets and your net worth.

Contact Us

Have any questions about your current auto coverage? Call our office @ 631-224-1000. Our friendly office staff will be more than happy to provide you with a FREE quote, explore alternative coverage options and answer any insurance concerns you may have. We encourage our readers to post in the comments section. It allows us to improve the quality of our blog, connect with our audience and address your insurance concerns. Be sure to follow us on social media as well, by clicking the icons below!

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