Does property damage liability have a deductible?

You need enough liability insurance to cover your net worth. Having coverage equal to the value of the assets you own and all the money you have, minus your debt, protects you financially in case of a serious car accident.

When to Carry Only the Minimum Liability Coverage

Although almost every state requires drivers to carry liability insurance, the minimum coverage is not always enough to cover the cost of an accident. It’s always...

PLPD is shorthand for Personal Liability and Property Damage insurance. PLPD insurance covers injuries and property damage for the other driver if you are found to be at fault in a car accident but it does not reimburse you for your own medical expenses or damage to your own property, however.

The term PLPD is most commonly used in Michigan; it is known as “basic liability” in the rest of the nation. Because PLPD...

Property damage in an auto accident is considered to be damage done by or to a vehicle, including to stationary objects or structures, like fences and mailboxes. Property damage in an accident is typically covered by the at-fault driver’s property damage liability insurance.

Liability insurance, which is required in almost every state, does not pay for the at-fault driver’s own expenses, however. If you cause the accident, you can only have your vehicle repairs covered if you...