Coverage A Liability

Bodily Injury Liability

This is usually the first section found on your insurance policy. Bodily Injury Liability covers injuries to other people in an accident if you are At Fault.  Most policies I write and see are SPLIT LIMIT policies. This means that you have an amount of insurance for each person’s injuries and a total limit payable per accident.

Example:  $100,000/$300,000

In this example, an insurance company can pay up to $100,000 per person and up to $300,000 per accident.

There are state required limits of liability in Texas of $30,000/$60,000

Property Damage Liability

Property Damage Liability is the third number that is seen for coverage A.

example: $100,000/$300,000/$100,000

Property Damage Liability pays for damages that you as the insured are liable for. This can come in the form of damaging another car, house, light pole, guard rail, toll booth, building or even damaging a rental car.

In the above example, if you had $100,000 Property Damage Liability then the insurance company can pay up to $100,000 for Property Damage.

The State of Texas Requires $25,000

COMBINED SINGLE LIMITS VS SPLIT LIMITS

In Texas an Auto Policy can be written in two ways.

Split Limts: $100,000/$300,000/$100,000

Bodily Injury of $100k per person, $300k per accident and $100k for property damage as described above.

Second CSL or Combined Single Limit: $300,000

This means that instead of breaking out the parts of Bodily Injury per person and the amount of property damage per accident, they will pay out a total of $300,000 per accident. This total amount can be used to pay Bodily Injury and Property damage as one sum amount.

Typically these are $100k CSL, $300k CSL, $500k CSL, $1 Million CSL

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