What is Bodily Injury Liability Coverage? | What Does Bodily Injury Liability Cover?

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Bodily Injury Liability Coverage

What is Bodily Injury Liability Coverage?

Video Source: Liberty Mutual

Bodily injury liability coverage also known as BIPD is a type of car insurance coverage that provides financial backup to body injuries caused in a car accident that you caused or responsible for. This means when you are found legally to be responsible for a car accident, bodily injury liability coverage in your insurance policy pays for the monetary costs of injuries caused to the other person or people involved. It also provides a legal defense in the event that you are sued for damages by the person affected in the accident. So

What Does Bodily Injury Liability Cover? 

Bodily injury liability covers

  1. Medical expenses for injury
  2. Pain and suffering
  3. Legal fees
  4. Loss of income
  5. Funeral costs

Related: What is property liability insurance coverage?

How is Bodily Injury Liability Structured? 

The limits of bodily injury liability coverage are typically displayed as two dollar amounts next to each other: example, $50,000/$100,000.

  • The first dollar ($50,000) amount represents the coverage limit for damages if only one person is injured in an accident. This means you would be covered for damages up to $50,000. However, you would be responsible for covering what remains or extra bills if the damages caused to this person exceeded $50,000.
  • The second dollar amount ($100,000) represents the coverage limit or the highest amount the insuring company can pay out for the total amount of damages if more than one person is injured in an accident you are guilty of if the damages exceed this amount, you would be responsible in taking care of the rest of the bills.

In this case, it’s recommended you purchase additional bodily injury liability coverage which gives you added advantage to your auto insurance policy. Most states in the United States will ask you for a minimum amount of bodily injury liability insurance; although this may not be enough to cover the total amount of damages you may be responsible for paying. So what are the advantages of purchasing additional bodily injury liability coverage in car insurance? The advantages of additional bodily injury liability coverage in car insurance are quick many and you need to check out the points below

Related: What is product liability insurance

The Benefits of Additional Bodily Injury Liability Coverage

buying additional injury liability coverage has the following advantages;

  1. Purchasing a higher limit of bodily injury liability insurance policy will further protect your assets and future earnings against the risk of a large financial loss in an auto crash.
  2. Your saving is secured as there is no threat it in the cause of accident
  3. Your investment and asset is secured and won’t be threatened in this cause.

You will need liberty Mutual can to show you the level of bodily injury liability coverage that best suits your unique situation when you start a free quote with any auto insurance company.

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