Lyles Insurance
  • Home - Lyles Insurance
  • About Us
  • Contact Us
  • Blog
  • Request A Quote

Ohio Auto Insurance Liability Coverage

9/16/2016

0 Comments

 
Picture
​There are a lot of older vehicles whose value is not high enough to make it worth carrying comprehensive and collision coverage, which is what actually covers the vehicle you're driving. However, as it is in almost every state, you are required to carry at least the state minimum liability auto insurance coverage to drive legally.


     You may not understand the terms and the numbers when selecting the amount of liability coverage you wish to carry. This article is to help eliminate that confusion, and let you understand exactly what you need to know as far as coverage is concerned.




First of all what is liability auto insurance coverage?


Liability covers you if you're at fault in an accident in which you caused injuries and/or property damage to others as a result. The bodily injury part of liability coverage takes care of the injuries and the property damage coverage takes care of the property damage. Both pay up to the limits you choose to carry.


Understanding what the numbers mean with liability coverage


There are two ways a company may offer liability coverage. The most common way is split limits. Some companies also offer combined single limits liability coverage. Let me explain both.


      Split Limits Coverage: With companies that offer split limits liability coverage, you will see those levels of coverage expressed in terms of three numbers. Common examples would be 25/50/25 (which Is Ohio's state minimum,  50/100/50, 100/300/100, 250/500/250. Let's break down what those numbers mean:


  • The first number represents how much in bodily injury damage the policy will pay maximum to any one person.




  • The second number represents the total amount of bodily injury coverage that the policy will pay if there are multiple people injured.




  • The third set of numbers represent the amount the policy will pay total for any property damage you caused.




  • All numbers are represented in terms of thousands of dollars.




     So for example, if you have 100/300/100 in liability coverage: $100,000 is the most this policy will pay for any one person's injury $300,000 is the maximum this policy will pay for all injuries, and $100,000 is the maximum this policy would pay for property damage.




Combined single limits coverage:  With combined single limits coverage the body injury and the property damage are all combined together and the total amount that this policy will pay for Liability (both injuries and property damage) is expressed as one grand total. So if you have a liability policy with a combined single limit of 500, this means that your policy will pay up to a half  million in total liability for body injury and property damage.

Picture

Other key points about state minimum liability coverage that you need to know:
    
  • Just a few years ago, Ohio raised its state minimum liability coverage requirement. Before it was 12.5/25/7.5. Now, it is 25/50/25. Because of this increase, a lot of drivers wrongly conclude that the state minimum requirement is adequate. However, this is far from the truth:
 
  • State minimum liability coverage will only cover you adequately for minor accidents. For major accidents, it's not nearly enough coverage! 25,000 is the most it will pay for any one person's injuries. Someone could run a hospital bill way beyond that with only a one or two night stay in the hospital. Also, if you hit a very nice vehicle or hit multiple vehicles it won't take much to exceed the $25,000 maximum either.  If your policy maxes out before paying all injuries or property damage you caused, you could be on the hook for the difference.
 
  • Low levels of liability coverage also limits your own coverage as far as uninsured motorist coverage is concerned. You can not select levels of uninsured motorist coverage any higher than what you selected for liability. So far selecting low levels of liability, you also screw yourself!
 
  • Choosing low levels of liability can also limit the amount of discount you can get for policies in the future. Auto insurance companies give significant and sometimes big discounts for those who have already carried continuous liability auto insurance coverage for at least six months.... Many companies determine the level of discount by the level of liability coverage you're carrying. For example, someone who has been carrying 50/100/50 in liability will get more of a discount than someone with 25/50/25.... Someone with 100/300/100 will get a higher discount than someone with 50/100/50... and so on....
 
  • Liability coverage is NOT unit priced! That is, doubling your level of liability coverage will not cost anything close to double the price.... In many cases, doubling your level of liability coverage only raises premium only about $2-3 a month... And quadrupling liability coverage only raises premium by about $5-10 a month. Before you choose a level of liabilty coverage, at least take a look at the price of the next higher level or two.... The price may surprise you!



Get an Ohio Auto Insurance Quote with Lyles Insurance


Call me for a Quote




Related Blog Articles:

Video: Understanding your auto insurance declaration page

Video: 10 Most common Auto Insurance Myths/Lies you hear people say

Video: Ohio BMV Random Letter Auto Insurance Check

Top 10 Ohio counties the State Highway Patrol cracks down the most & least on DUI’s

10 Keys to Buying Auto Insurance in the Portsmouth Ohio area with a bad driving record

0 Comments



Leave a Reply.

    Picture

    Author

    Dan Lyles is an Independent Insurance Agent serving Ohio, Indiana, Michigan, Pennsylvania, Virginia and West Virginia..

    Archives

    March 2021
    November 2020
    September 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    February 2020
    January 2020
    October 2019
    September 2019
    June 2019
    May 2019
    April 2019
    March 2019
    February 2019
    January 2019
    December 2018
    November 2018
    October 2018
    September 2018
    August 2018
    July 2018
    June 2018
    May 2018
    March 2018
    February 2018
    December 2017
    September 2017
    August 2017
    July 2017
    June 2017
    May 2017
    April 2017
    March 2017
    February 2017
    January 2017
    December 2016
    November 2016
    October 2016
    September 2016
    August 2016
    July 2016
    April 2016
    March 2016
    February 2016
    January 2016
    December 2015
    October 2015
    August 2015
    December 2014
    November 2014
    October 2014
    July 2014
    June 2014
    May 2014
    April 2014
    March 2014
    February 2014
    January 2014
    December 2013
    November 2013
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013
    April 2013
    March 2013
    February 2013
    January 2013
    December 2012
    November 2012
    October 2012
    September 2012
    August 2012
    July 2012
    May 2012
    April 2012
    March 2012
    December 2011

    Categories

    All
    Things You Must Know When Buying Snowmobile Insurance In Michigan

    RSS Feed

Lyles Insurance copyright 2020
  • Home - Lyles Insurance
  • About Us
  • Contact Us
  • Blog
  • Request A Quote