What Does Liability Insurance Cover for NC Drivers?
If you’re new to car ownership, you probably have a lot of questions, including “how does liability insurance work?” Whether you’re from Raleigh, Apex, or anywhere else in North Carolina, liability insurance is required by law for all drivers. But what does liability insurance cover? In the event of an accident, liability insurance covers bodily injury and property damage for the other driver – not the driver who is at fault. Interested in learning more about what liability coverage pays for? Hendrick Chevrolet Cary has the answers you seek!
How Does Liability Insurance Work?
Bodily injury and property damage sustained by the other driver in an auto accident are both covered by your liability coverage, but they have separate coverage limits. In North Carolina, all drivers must have at least the following coverage limits:
- $30,000 bodily injury coverage per person
- $60,000 total bodily injury coverage for all persons injured
- $25,000 for property damage
This is the minimum amount of coverage required of North Carolina residents, but you can exceed these limits if it makes you more comfortable – just make sure you don’t get more coverage than you can pay for.
What Does Liability Coverage Pay For?
What sorts of liabilities fall under the bodily injury or property damage categories? Take a look:
- Medical and hospital bills
- Long-term medical care required as a result of the accident
- Funeral expenses if the accident results in a fatality
- Physical rehab to recover from injuries sustained in the accident
- Pain and suffering
- Lost wages
- Repair expenses for any vehicle damage
- Parts replacement(s) required to repair the vehicle damage
- General property damage (house, personal property, etc.)
- Pets injured or lost in the accident
As you navigate the auto liability insurance definition and what is or isn’t covered, the key thing to remember is that liability coverage is designed to protect the victim of an accident, not the driver at fault. Rather than paying for the other driver’s damages totally out of pocket, your liability insurance helps cover the expenses.
Setting Up Your Liability Coverage Limits
When you’re working with your insurance agent in Apex, they’ll help you set up your coverage limits for your Camaro or Equinox. Whether you want to stick to the minimum requirements or pay for additional coverage is all up to you! Usually, the limits can also be either split up or maintained as one single limit:
- Split Limit – You can select individual maximums for the bodily injury payments per person, for all persons involved, and for the total property damage.
- Single Limit – You pay one lump sum that is to be distributed across all persons injured in the accident and all property damaged.
Have Additional Questions About Liability Coverage?
We’ve covered the auto liability insurance definition and looked into what does liability coverage pay for, but if you’re left with additional questions, our team will be glad to assist! Contact us today to get more helpful car-buying tips, and if you’re still on the hunt for your ideal new vehicle, check out our impressive new and pre-owned inventory!