What is vehicle liability insurance?

Vehicle liability insurance is a part of auto insurance that provides financial coverage for damages and injuries caused to others, including other vehicles and property, as a result of an accident or incident involving your insured vehicle. It is mandatory in most states and provides protection against legal liability for expenses related to bodily injuries, property damage, and sometimes even legal defense fees.

Key aspects of vehicle liability insurance include:

Bodily Injury Liability Coverage: This coverage helps pay for medical bills, loss of income, pain, and suffering of another person or their passengers injured due to an accident caused by your insured vehicle.

Property Damage Liability Coverage: This coverage helps cover the cost of repairing or replacing property (such as other vehicles or buildings) damaged by your insured vehicle in an accident you caused.

Limits: Liability insurance policies have limits, such as "100,000/300,000/100,000" which represents the maximum amounts the policy will pay for:

- Bodily injury to one person in an accident

- Bodily injury to all people in one accident

- Property damage in one accident

Third Party Coverage: Vehicle liability insurance protects against claims made by the third party involved in an accident, not you or your vehicle.

Mandatory Requirement: In most countries and states, vehicle liability insurance is mandatory to legally drive a vehicle.

Importance: Vehicle liability insurance provides peace of mind knowing that you are financially protected in case you cause an accident resulting in injuries or property damage to others. It helps cover the costs associated with these liabilities and can avoid significant financial burdens.