What is Bodily Injury Liability Coverage?

Bodily Injury Liability Coverage is a type of auto insurance policy that pays for the costs associated with injuries to the other party or parties involved in an accident for which the policyholder is found legally responsible. This coverage is mandatory in most states in the U.S.

The coverage includes medical bills, loss of income, pain and suffering, and legal expenses if the injured party decides to sue. It also covers funeral expenses in the event of a fatal accident. The policyholder’s legal defense costs are also covered if a lawsuit is filed against them.

Bodily Injury Liability insurance is typically expressed by two numerical figures with a slash in between. For example, a policy limit can look like this $15,000/$30,000. The first number represents the limit the insurance company will pay for a single person’s injuries in an auto accident, and the second is the total limit for all injuries in the entire accident.

It’s important to note that the Bodily Injury Liability policy does not cover the policyholder’s injuries or vehicle damage. For that, the policyholder would need to have other types of coverage such as Personal Injury Protection (PIP), Medical Payments Coverage, or Collision insurance.

In summary, Bodily Injury Liability Coverage is a crucial part of auto insurance that protects the policyholder from significant financial loss if they are found at fault in an accident that causes injury to others.