What Does Liability Insurance Cover?

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Explore:  Car Accident

Following a serious motor vehicle accident, liability car insurance can provide a lifeline. If a negligent driver is responsible for your injuries, their insurance company is obligated to provide compensation for your losses.

While most states, including Georgia, require drivers to carry liability insurance, many don’t fully understand what it covers. According to a 2010 survey by the National Association of Insurance Commissioners, more than half of U.S. drivers are confused about auto insurance.

In basic terms, liability insurance covers losses suffered by other people due to the insured person’s negligent driving. It has two parts:

  • Bodily injury — Pays for medical expenses, rehabilitation, long-term nursing care, funeral expenses, lost earnings, pain and suffering, and related losses, up to the policy limits.
  • Property damage — Pays for expenses related to the repair or replacement of damaged property, including vehicles, light posts, houses and personal items, up to the policy limits.

In addition to the policyholder, liability insurance also typically covers licensed drivers given permission to drive the vehicle. Therefore, if a friend or family member was driving the vehicle at the time of the crash, the insurance company must still honor the claim.

Even when the at-fault driver has the appropriate coverage and liability is reasonably clear, insurance companies generally do not pay claims without putting up a fight. For example, they may offer you substantially less than your claim is worth or pressure you to accept a settlement without fully understanding the legal implications.

To help ensure you receive full and fair compensation for your losses, it is often necessary to work with an experienced Savannah personal injury lawyer. At Owens & Mulherin, we know how insurance companies operate and fight aggressively to protect your best interests.

- See more at: http://www.lomlaw.com/blog/what-does-liability-insurance-cover/#top

Following a serious motor vehicle accident, liability car insurance can provide a lifeline. If a negligent driver is responsible for your injuries, their insurance company is obligated to provide compensation for your losses.

While most states, including Georgia, require drivers to carry liability insurance, many don’t fully understand what it covers. According to a 2010 survey by the National Association of Insurance Commissioners, more than half of U.S. drivers are confused about auto insurance.

In basic terms, liability insurance covers losses suffered by other people due to the insured person’s negligent driving. It has two parts:

  • Bodily injury — Pays for medical expenses, rehabilitation, long-term nursing care, funeral expenses, lost earnings, pain and suffering, and related losses, up to the policy limits.
  • Property damage — Pays for expenses related to the repair or replacement of damaged property, including vehicles, light posts, houses and personal items, up to the policy limits.

In addition to the policyholder, liability insurance also typically covers licensed drivers given permission to drive the vehicle. Therefore, if a friend or family member was driving the vehicle at the time of the crash, the insurance company must still honor the claim.

Even when the at-fault driver has the appropriate coverage and liability is reasonably clear, insurance companies generally do not pay claims without putting up a fight. For example, they may offer you substantially less than your claim is worth or pressure you to accept a settlement without fully understanding the legal implications.

Topics:  Car Accident

Published In: Personal Injury Updates

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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