McKayla Girardin, Car Insurance Writer
@mckayla_girardin
The numbers 25/50 on a car insurance policy mean that the policy will provide $25,000 in bodily injury liability coverage per person injured in an accident caused by the policyholder and up to $50,000 in total per accident. These limits only apply to other people’s injuries if you cause an accident. If you are not at fault, your injuries are covered by the at-fault driver’s liability insurance, instead.
How a 25/50 Car Insurance Policy Works
- 25 is shorthand for $25,000. It is the maximum amount the insurance company will pay for a single person’s bodily injuries after an accident you cause.
- 50 is shorthand for $50,000. It is the maximum amount the insurance company will pay for all bodily injuries after an accident you cause.
- Your policy may include a third number, which denotes how much your insurance company will pay for property damage liability.
- If the cost of the injuries exceeds the limits of your insurance policy, you may be sued for the remaining expenses.
To learn more, check out WalletHub’s guide to bodily injury liability insurance.
People also ask
How much bodily injury liability should you have?
You should have at least as much bodily injury liability insurance coverage as your state requires, and it’s good to purchase coverage limits that are equal to your assets. Maintaining enough bodily injury liability insurance to cover your net worth is recommended to prevent lawsuits.
Bodily injury liability coverage pays for other drivers’ and passengers’ injuries when the policyholder is at fault in an accident. Bodily injury liability can cover medical bills, funeral expenses, lost wages, legal...
read full answerWhat is the difference between bodily injury and personal injury in car insurance?
The difference between bodily injury (BI) and personal injury (PIP) coverage in car insurance is that PIP pays for the policyholder’s own medical bills, while BI covers others’ medical bills when the policyholder is at-fault. Bodily injury coverage is a form of liability insurance. It is required in almost every state, but only 13 states require personal injury protection. It’s also worth mentioning that bodily injury coverage does not have a deductible, while PIP generally does.
... read full answerWhat does bodily injury liability insurance cover?
Bodily injury liability insurance covers other drivers’ medical expenses if they are injured in a car accident that you cause. Bodily injury liability insurance can pay for things like another driver’s emergency care, hospital fees, and even lost wages after an accident you’re at fault for.
Although bodily injury liability won’t cover your own injuries or associated costs, it can cover your legal fees if you are sued because of an at-fault accident. However,...
read full answerDid we answer your question?