What is property damage liability coverage?
Property damage liability coverage can help pay for the repair or replacement of damaged property such as a fence, house, or vehicle after a covered accident where the insured driver is at fault. Nearly every state requires property damage coverage, and it is part of your vehicle insurance policy’s liability coverage.
How property damage liability works
Property damage can occur in the blink of an eye. For example, if you get distracted at a red light and fail to stop you can easily cause damage to another car and/or a nearby road sign. In cases of covered accidents where you are at fault your property damage liability would cover damage to the third party's car or property.
Coverage limits
The specifics of your policy depend on several factors, including state law and your monthly premium. We recommend discussing your specific coverage needs with your insurance company. However, there are typical limits you can usually expect on your property damage liability coverage policy which can include:
Per-incident limits
Your policy may stipulate a certain maximum that the insurance will pay out in any given accident. If the damage exceeds that amount, the insurance company will only pay what is covered under the policy. In other words, if you have $50,000 in property damage coverage but the accident causes $70,000 in damage, you may be liable for the remaining $20,000 (in addition to the initial deductible).
Work with Infinity Insurance Agency
Auto insurance doesn’t need to be tricky! Working with a qualified insurance agency can be a great way to navigate your coverage options. Call Infinity Insurance Agency, Inc. at 1-855-478-3705 to speak to an agent or receive a free quote today!