We regularly answer the question of what liability on auto insurance pays for. Our auto insurance clients in Kentucky, Florida, Virginia and other states where we are licensed insurance agents are often unclear about this very common inclusion in their custom insurance package. Furthermore, insurance laws and limits vary from state to state so it’s important to learn what your state’s auto insurance laws are.
Before we dive into this question, it may help to first cover the basics of auto insurance. Auto insurance is a contract between the driver, also known as the insurance policyholder, and the insurance company.
This contract gives financial protection to the policyholder in the event of damage, theft, or injury. The policyholder is responsible for paying the premium – which is the amount the insurance company charges for the insurance plan. If the policyholder gets into an auto accident and needs to access the insurance coverage, the insurance company will cover all financial losses according to the policy contract.
Exact auto insurance coverage amounts are best quoted in a conversation with your insurance agent. At Holly McMillin Insurance, we always want to make sure you are very clear about the specifics of your automobile insurance.
Why do I need auto insurance?
It is a law in most states that licensed drivers must hold auto insurance. This is why a new driver obtaining their driver’s license must bring proof of insurance to their DMV visit. Additionally, if a driver gets pulled over and is unable to produce proof of insurance, there can be hefty fines, loss of license and even jail time as a consequence. These penalties are usually determined on a state-by-state basis.
Trust us, you want the right insurance for your vehicle, and here’s why.
If there is an accident, injury, or damage to the vehicle, auto insurance will aid in covering those losses. Auto insurance can also help pay for legal fees in the event of the driver’s appearance in court. Auto liability coverage is almost always legally required for licensed drivers as well because it extends this coverage to accident injuries, medical expenses and vehicle damage that are the fault of the driver/policyholder.
What is auto liability coverage?
Liability on auto insurance pays for property damage and medical expenses caused by an accident in which the driver is at fault. There are two types of liability coverage: Bodily injury and property damage.
Bodily injury liability covers expenses of injuries to the driver or passengers in another vehicle caused by the driver of the vehicle at fault. If you were to get into an accident involving other vehicles, and the accident is deemed your fault, you will absolutely need to have bodily injury liability to cover sky high medical expenses. If there are bodily injuries involved in the accident, liability coverage can pay for medical bills, prescriptions, and lost wages of the other injured party.
Similarly, property damage liability reimburses for damages caused by the driver such as hitting a pole, fence, or other vehicle. This coverage could mean supplying a rental car to the other person involved in the accident as an example. Many states allow limits on property damage coverage, so if you’re looking for auto insurance in Virginia, Florida or Kentucky, you will want too speak with a licensed insurance agent to determine what’s best for you.
Why do I need liability coverage?
Liability coverage protects you and your family from accident expenses, either small or very high. This means that if you, the driver, are responsible for damages to another party or property, you are protected from paying all or close to all of the damages, depending on your particular policy. Liability coverage on your auto insurance can be tailored to your driving needs. Holly McMillin Insurance Group works with clients in Virginia, Florida and Kentucky to recommend and create a plan.
How do I get the best auto insurance for my needs?
Holly McMillin Insurance Group strives to protect families from everyday risks, including risks associated with operating a vehicle. Holly and her team work with individuals and families to understand exactly what they need and create customized auto insurance policies.
Holly McMillin is currently serving families in Kentucky, Virginia, and Florida and has more than 25 insurance carriers to customize the perfect plan for you. If you’re interested in receiving a quote or further information, appointments are available in person, online, over the phone, or through text messaging. This includes an initial phone call or meeting, personalized assessment, quote with proposal options, and a client welcome. Holly and her team are passionate about helping individuals and families find the right auto insurance to cover all risks associated with operating a vehicle.
To contact Holly McMillin for an auto insurance quote, simply send us a few details here.
