When you buy a new vehicle or used vehicle in Surrey, it’s likely your state will require you to get liability insurance. But what does liability insurance cover, and how does liability insurance work? Freeway Mazda has all the information that a Langley driver will need to know about auto liability insurance definitions and coverage below!
How does liability insurance work? When you get a new vehicle, you’ll work out a payment plan with a Finance Centre. This plan will include the costs of liability insurance. So, what does liability insurance coverage pay for? It covers both bodily injury and property damage. Burnaby drivers should know that each of these can have their own limits set by the state. If you’re wondering, “What does liability insurance cover?”, refer to this handy list:
Auto Liability Insurance Definition: Bodily Injury
Auto Liability Insurance Definition: Property Damage
So, how does liability insurance work? It covers the victim of the accident. It doesn’t cover the driver at fault. The key factor is it limits the liability of the driver at fault. It’s a central feature of this whole Canadian system.
Limits, limits, limits. That’s the name of the game when you’re asking a Vancouver finance center, “What does liability coverage pay for?”. You have a few options when negotiating limits: a split limit or a single limit are usually what people go for. Here’s what that means:
At Freeway Mazda, our goal is to help Surrey drivers through every step of the car-buying process, so you get the vehicle you want without the stress. Consult our car buying tips for advice on financing, leasing, and more! And feel free to reach out to us with any questions about your insurance coverage today!
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