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This term refers to the maximum amount of money that the insurer is obliged to pay on your behalf in the event of a collision. The premium that you pay to the insurer for this protection is a function of many factors, once of which is the liability limits.
Liability limits are usually expressed in terms of an amount payable per person, and a larger amount payable per event or occurrence. This means that if an event occurs that is your fault and that is covered by the policy, the insurer may be required to pay a maximum of $X to each person who is injured or harmed. Further, it means that if multiple people were injured or harmed by the same occurrence, the insurer is liable for payment of up to the "per occurrence" limits, but no more.
All of this is contingent upon the person insured being legally liable for the occurrence. This generally means that the person must be found to have been negligent.
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How much auto insurance liability is necessary?
The limits vary by state. Where are you?
Is auto liability insurance required in all 50 states?
Yes, auto liability insurance is required in all 50 states, howeve the limits of liability vary between states. Some require less than others.
What sets minimally acceptable amounts of automobile liability insurance?
Minimum Auto Liability limits in the United States are set by your local State Government.
What does basic coverage mean in auto insurance?
That usually means you have the state required liability limits and nothing more.
If my son wrecked his car into his dads house and there is over 25000 damage would their home owners insurance sue me for the amount required over the 15000 in liability limits my auto insurance cover?
Assuming you and our sons' father do not live together, the homeowners insurance will probably try to subrogate their losses by going after you or your auto insurance. What you have to look at is your property damage coverage. In the state of California the minimum liability limits are 15/30/5. The 5 stands for $5000, which is the most, your auto insurance will cover. Your limits may be different. Assuming you and our sons' father do not live together, the homeowners insurance will probably try to subrogate their losses by going after you or your auto insurance. What you have to look at is your property damage coverage. In the state of California the minimum liability limits are 15/30/5. The 5 stands for $5000, which is the most, your auto insurance will cover. Your limits may be different.
What are the legal requirements of car insurance in the state of michigann?
Liability auto insurance is a requirement in order to drive in Michigan. The minimum limits are 20/40/10.
What is the dollar amt the State Of Tenn says you have to have in auto insurance?
You must carry liability limits of atleast 25,000/50,000/10,000.
What type of auto insurance do you need?
You must purchase the minimum state liability limits required by law. Anything else is optional.
Can liability insurance cover fines and penalties?
If your asking will your auto liability insurance pay for a traffic citation, No. They don't pay for the illegal acts of the insured. Your auto liability insurance is accident insurance.
What is umbrella insurance?
Umbrella insurance is extra liability insurance. It is designed to help protect you from major claims and lawsuits and as a result it helps protect your assets and your future. It does this in two ways: Provides additional liability coverage above the limits of your homeowners, auto, and boatinsurance policies.
What is excess insurance mean on an subcontractors insurance?
The term 'excess' insurance is usually for liability coverage. An excess liability policy is also commonly referred to as an 'umbrella' policy because it offers additional coverage over other liability coverages. In the case of a subcontractors insurance, it would be a policy which would extend higher limits than the base policy on general liability and auto liability.
How do you protect assets from auto insurance claims?
Firstly, you need to purchase an adequate amount of liability coverage for your situation. You have a choice of liability limits that you want when purchasing auto insurance. You can also purchase an umbrella or excess liability policy that will give you coverage over an above your auto, home, boat, etc policies and increase limits of all to 1, 2, 5 million dollars, also your choice. These umbrella policies are very inexpensive but require that you carry higher limits of liability on your base policies like your auto and home. Get with a good independent agent in your area that deals with many different insurance companies and they can shop rates and coverages for you based on what you want.
