Insurance Info – Property Insurance
Did you know that Property Damage Liability Coverage will only pay for the damages you cause to another person’s car and possibly personal possessions that were damaged as a result of an accident that you are at fault for?
Property damage liability coverage will also pay for other property such as a tree, mailbox or any object you damaged in an accident. The amount of your property damage insurance is described on the Declaration page of your insurance policy and is usually a separate top page. You must check your coverage limit to be sure it will adequately protect you if the property damage coverage is not high enough. For example, in Texas the minimum property damage limit sold is usually $25,000.00. So if you cause an accident with someone driving an expensive foreign car like a Ferrari or Bentley even a small dent will cost more than $25,000.00 and you could be sued and personally responsible to pay for any amount over your coverage limit. So if you have other substantial assets to protect you should maintain at least $100,000.00 of property damage coverage to protect yourself from having to pay out of pocket for the cost of repair or replacement above your insurance coverage.
This coverage however, will not pay for any repairs to your vehicle or property that was damaged in an accident. Some insurance policies exclude coverage for payment of personal property damaged in an accident, such as cell phones, i-pods, etc. More on this website