How Much Bodily Injury Liability Do I Need


WRITTEN BY: Julia Matseikovich

UPDATED: DECEMBER 27, 2022 | 1 MIN READ

When you’re involved in a motor vehicle accident, your bodily injury liability insurance will help cover medical costs associated with your accident. This insurance coverage isn’t intended for your medical bills but for the passengers in your vehicle, pedestrians, or the other car’s driver and passengers. It can be challenging to know how much insurance you need. Still, with bodily injury liability insurance, many states require it. Below we’ll discuss why this coverage is essential, everything it covers, and how much coverage you need.

Is Bodily Injury Liability Coverage Necessary?

Throughout most of the United States, bodily injury liability coverage is required for you to drive legally. The only states where you aren’t required to carry this insurance are:

Some states may not require you to carry bodily injury liability through state law. However, they’ll have other insurance requirements you’ll need to meet to stay legal on the road. For example, in Virginia, residents can pay a $500 fee to the Department of Motor Vehicles rather than buying liability coverage. In some regions of Alaska, you can opt out of car insurance if you’re in a remote area. And in New Jersey, you’ll need to carry some insurance, whether it’s bodily injury or property damage liability, and PIP (personal injury protection) coverage.

What are Liability Insurance Coverage Limits?

Since each state holds a minimum required liability insurance threshold, it’s crucial to know what these liability limits mean as far as coverage goes. You’ll likely see three different limit terms when you review your insurance coverage. These limits include the following:

  • Bodily injury liability coverage per-person limit
  • Bodily injury liability coverage per accident
  • Property damage liability coverage

Bodily Injury Liability per Person

This helps contribute towards another driver or passenger’s medical bills if you cause an auto accident. If you have 100/300/100 coverage limits, your insurance company will pay a maximum of $100,000 towards bodily injury liability coverage per person.

Bodily Injury Liability per Person

This is the liability limit that pays medical expenses per car accident. So if your limits are 100/300/100, your insurance company will contribute a maximum of $100,00 per accident towards medical costs, no matter how many people are injured in the car accident.

Property Damage Liability per Person

This liability limit is the amount your insurance company will contribute to property damage to the other driver or passenger’s car when you’re at fault. If you have 100/300/100 coverage limits, your auto insurance policy will contribute a maximum amount of $100,000 toward property damage costs.

How much Bodily Injury Coverage Should you Carry?

A good rule of thumb when figuring out how much insurance coverage you should carry at the minimum what your specific state requires. Many insurance experts recommend taking a minimum coverage of $100,000/$300,000. But it may be good to have enough insurance coverage to cover your net worth if you cause an auto accident. You could be involved in a lawsuit if you don’t carry enough insurance coverage to pay for the other driver’s injuries. You could potentially lose assets you’ve likely worked your entire life for.

Bodily Injury Liability and What it Covers

Bodily injury liability insurance coverage helps cover another driver or passengers:

  • Loss of wages: This covers lost paychecks if they can’t work because of a car accident.
  • Medical bills: This covers hospital expenses, doctor’s appointments, and medical equipment if necessary.
  • Funeral expenses: This coverage is intended if the other driver or passenger succumbed to injuries due to the accident.
  • Suffering and pain: If the driver or passenger suffers emotional trauma following the car accident.

Additional Coverage with Umbrella Insurance

Umbrella policies can help provide additional protection in a car accident. This may be the perfect insurance solution for you if you have substantial assets to protect. Suppose you exhaust your liability coverage after an automobile accident. In that case, your umbrella insurance will kick in to help pay for additional costs that could incur. This is an excellent option for drivers with higher net worth.

FAQs

What’s the best bodily injury coverage?

The best bodily injury coverage is the most common coverage for drivers. It’s 100/300/100 in coverage, meaning $100,000 per person in bodily injury, $300,00 for each accident for bodily injury liability, and $100,000 for property damage liability coverage.

Florida’s recommended bodily injury coverage is 100/300/100 in insurance coverage. However, insurance experts recommend higher limits if you have significant assets to protect, such as a home.

What does 25k/50k/25k mean?

A 25/50/25 policy is an insurance policy that carries specific limits. The limits for these policies are $25,000 in bodily injury liability per person, $50,000 in bodily injury per accident, and $25,000 in property damage liability insurance for at-fault car accidents.

What is the bodily injury liability coverage in California?

California’s state minimum required liability coverage is 15/30/5 in coverage limits. So, $15,000 in bodily injury liability per person, $30,000 in bodily injury per accident, and $5,000 in property damage coverage per state requirements.

What is the difference between bodily injury and property damage?

Bodily injury is car insurance coverage that helps cover medical bills for anyone other than you injured in a car accident where you’re at fault. Property damage covers property damage costs if you cause damage to someone else’s car or objects, such as a mailbox or garage.

What type of car insurance should I get?

Comprehensive coverage is the most popular type of coverage among drivers in the United States. This covers not only another driver’s car and injuries if you’re at fault but yours. It’s by far an extensive form of auto insurance coverage.

Get Help Finding the Best Auto Insurance Coverage

Bodily injury liability insurance is essential in most states within the country. When you’re ready to buy your new car insurance policy, you can rest easy knowing we can find the most affordable insurance rates. Call us today, or complete our online insurance quote form.