Bodily Injury Liabilty Coverage

• Bodily injury liability coverage is one of the types of auto insurance that is required by state laws. Bodily injury liability coverage pays for damage you cause to others in car accidents that are your fault. For example, if you accidentally run a red light and sideswipe another car, your bodily injury liability coverage can pay for the cost of the other driver's medical bills. Bodily injury liability coverage typically includes two parts: a limit for injury caused to one person and a limit for injuries caused to multiple people in a single accident.
  
  

Property Liability Coverage

• Property liability coverage pays for damage you cause to the property of others in accidents that are your fault. If you rear end a car parked at a stoplight and cause $2,000 of damage to the other driver's car, your property liability coverage can pay for the damages. Required properly liability insurance minimums are lower than bodily injury minimums in many states.
  
  

Uninsured and Underinsured Motorist Coverage

• In addition to bodily injury coverage and property coverage, some states require uninsured and underinsured motorist insurance. Uninsured motorist coverage pays for damage that uninsured drivers inflict on you and underinsured motorist coverage can pay for damage that exceed the liability coverage limits of other drivers . For example, if another driver has $25,000 of personal injury liability coverage but an accident he causes forces you to get $50,000 worth of medical care, your underinsured motorist coverage can help make up the difference.
  
  

Optional Insurance

• Comprehensive auto coverage and collision coverage are optional types of auto insurance that you do not technically need to drive a car legally, but many drivers consider these coverage types to be a necessity to protect the investment of an automobile. Collision auto insurance pays for damage done to your car while driving, such as hitting a tree or a parked car, while comprehensive coverage protects a car against other possible sources of damage such as fires, theft and storms.