What is Bodily Injury Liability Coverage?

One of the main elements of an auto insurance policy is the bodily injury liability coverage. Chances are you have heard this term. But the term can be misleading as this coverage does not actually protect you for your bodily injuries resulting from a car accident.

Bodily injury liability coverage actually protects you from financial burden. For example, if you are at fault in an accident that causes death or injury to any other person, bodily injury liability coverage protects you against the financial responsibility for their medical expenses, lost wages, pain and suffering, funeral costs and legal representation.

Because everyone is at risk of causing a car accident, it is a good idea to have bodily injury liability coverage – and most states actually require it. Without this type of coverage, you would be left on your own to cover the enormous cost of someone else’s medical bills, which that alone can cause almost anyone to become bankrupt.

If your state requires bodily injury liability coverage, chances are that the minimum requirement is listed in a split amount, such as $100,000/$500,000. The smaller amount covers one person per claim, while the larger amount takes care of everyone injured in an accident.

The cost for bodily injury liability is based on how much coverage you want. The higher the amount, the higher your premium will be. If you can afford more than the minimum bodily injury liability required, it is a good idea to purchase more coverage. This will ensure that your policy can cover all accident-related costs that you caused. Otherwise, the injured person’s lawyer can sue you for the remainder of the money.