Property Damage Liability Coverage: What Is It?
You might have heard of it, but what is it?
Picture this, you’re driving to the store. On the way, you accidentally rear end a stopped car at an intersection. Nobody is injured, but the other car in damaged. That’s what property damage liability coverage is for.
Your coverage providers for a couple of key things:
- Damages to the other person’s car if you’re responsible for the accident up to your policy limit.
- Your legal defense if the owner of the other vehicle sues you.
Here is another important thing to keep in mind: If you’re found liable for an accident, your net worth could be at risk. The more assets you have, the more coverage you may want.
For additional liability protection, consider an umbrella policy.