by Guest » Mon Sep 29, 2008 04:17 am
If your car gets involved in an accident and you are at fault, then this policy pays for any damage to the other party's property. What the other party gets compensation for is not just the labor and part expenditure for repairs, but also for any valuables if inside the car that suffered damage in the accident. This policy also compensates for any stationary object that you hit, like someone's tree or any other object that belongs to that individual.
Do you need property damage insurance?
If you are a responsible citizen and a responsible driver, you must have property damage liability insurance unless you think you can afford the entire cost out-of-pocket. Accidents happen, and it is always better that you are prepared before time. Car repairing can cost you a fortune. If someone sues you for property damage you may be needed to pay a big amount out-of-pocket. Some states require you to have state minimum property damage liability insurance.
How much property damage liability insurance must you buy?
You may buy property damage liability insurance as much as you can afford. Some states, however, have a state minimum requirement for liability for property damage which you must purchase. If you get involved in a serious accident with an expensive car, your state minimum insurance won't be able to provide enough coverage. This means that if you do not have enough coverage, you will be required to pay out-of-pocket which can cost you a fortune. If you can save with property liability insurance, you may be able to provide quite a big amount from insurance and may need to pay just a little out-of-pocket.
An expensive car may be a classic example, and besides that, if you hit someone else's property like a mailbox or even a tree or any other property, you will be responsible. Claims for property damage can cost a fortune; hence, it is advisable that you purchase coverage beyond the state minimum requirement. Property liability insurance has different limits that are set according to the various protection levels. If you increase the liability coverage limit, the policy premium gets increased as well.
An expensive car may be a classic example, and besides that, if you hit someone else's property like a mailbox or even a tree or any other property, you will be responsible. Claims for property damage can cost a fortune; hence, it is advisable that you purchase coverage beyond the state minimum requirement. Property liability insurance has different limits that are set according to the various protection levels. If you increase the liability coverage limit, the policy premium gets increased as well.
How are the limits set in property damage liability?
You can have 2 main options:
Combined single limit policy provides coverage for a single amount where you can use the entire amount for bodily injury and property damage liability. Split limit policy, as the name suggests splits the amount of coverage and provides protection by dividing the amount you have for bodily injury and property damage liability. Find out more about liability limits from here.
- Combined single limit policy
- Split limit policy
Combined single limit policy provides coverage for a single amount where you can use the entire amount for bodily injury and property damage liability. Split limit policy, as the name suggests splits the amount of coverage and provides protection by dividing the amount you have for bodily injury and property damage liability. Find out more about liability limits from here.
What are the restrictions in property damage liability coverage?
There are certain restrictions to the property damage. They are:
- For multiple vehicle owners: If a vehicle listed on the policy has liability limits, the rest of the vehicles must have them too.
- All vehicles must have the same selected property damage policy in case of multiple vehicle owners.
- Each state has set a state minimum liability insurance and this is required by all households to have.
- Filings: If the filing is on any commercial property, then property damage liability is required.
- Extra trailers need to give a flat fee for property damage liability.
Related readings:
Whats the importance of liability limits? Is it necessary that I should always maintain the liability limits recommended by my state? What could be the most favorable liability policy limits?
Purpleheaded08
Purpleheaded08
Posted: Sun Nov 15, 2009 12:29 pm Post Subject:
Is there a limit on getting someone to fix car that they damaged and promised to fix but never fixes
I doubt it..but then again, I don't really know what you mean. Who promised to fix it and who didn't fix it? Was the fixee already paid? Who's on first?Posted: Mon Nov 16, 2009 12:13 am Post Subject:
sounds like someone has made a private agreement to fix his car rather than go though their insurance companies, possibly to avoid an excess payment or loss of no claims bonus.
If this is the case, I believe the answer is "no" in any practical sense as you do not have a provable agreement, other than the other persons "word".
I could be wrong, but this is what it sounds like to me.
Posted: Mon Nov 16, 2009 11:55 am Post Subject:
That's as good a guess as any Heidrik, the OP was very vague. :wink:
Posted: Wed Mar 24, 2010 07:43 pm Post Subject: windshield damage
My windshield is cracked. My insurance company said that since I only had liability they wouldn't cover to replace it. Is this true?
Posted: Wed Mar 24, 2010 08:07 pm Post Subject:
My windshield is cracked. My insurance company said that since I only had liability they wouldn't cover to replace it. Is this true?
Yes, it's true. In order to have coverage for glass damage, you need to have "other than collision" (also known as "comprehensive" coverage) on your car. This coverage pays for glass damage, vandalism, theft and a host of other things that are caused by "other than collision."
This is part of what's called the "physical damage" portion of an auto policy. Your coverage is liability only- it will only protect the other guy in the event it's your fault in an accident. It will pay for bodily injury and property damage to a "third party:" the other guy.
Sorry 'bout that!
InsTeacher 8)
Posted: Wed Jun 02, 2010 05:15 pm Post Subject:
What type of auto insurance provides coverage from a tree falling on your car as it sits in your driveway?
A. collision coverage.
B. bodily injury liability.
C. comprehensive physical damage coverage.
D. property damage liability coverage.
Posted: Wed Jun 02, 2010 05:20 pm Post Subject:
C comp
Posted: Fri Nov 12, 2010 12:07 am Post Subject: mailbox damage
A driver hit and broke our mailbox. The particular mailbox is required under HOA rules to match all the others in our subdivision. The person who hit and broke the box was observed doing the damage by a neighbor and asked her to write a note with her contact info. In the note she stated her willingness to pay for repair or replacement. The individual has not returned calls about taking care of this. What should we do? File a police report? Our neighbor got the license plate numbers for the driver and we picked up bits from her broken tail light and kept. them. Please advise. Thanks!
Posted: Fri Nov 12, 2010 12:18 am Post Subject:
When a person is in an accident they are required by law to exchange DL info and insurance. You did not obtain their insurance information?
I'd see if the police will take a report. They will probably just allow you to file out a form and that is it.
You can contact your DMV and see if they might give you the last known insurance info. Some will, some won't.
You could also knock on the person's door and see why they won't return your calls. Get their insurance information while you are there. If they won't give it right then and there (don't accept a promise to pay at a later date... they had that chance) then report to the police that this person cannot show you proof of insurance as required and refused to give this to you. You may want to see if an officer might accompany you to this person's home. Let them know you don't want to get hurt but need this person's insurance information.
Posted: Fri Nov 12, 2010 09:48 am Post Subject:
When a person is in an accident they are required by law to exchange DL info and insurance. You did not obtain their insurance information?
I think, from what the OP wrote, that the "accident" occurred when the OP was not home.
The particular mailbox is required under HOA rules to match all the others in our subdivision. The person who hit and broke the box was observed doing the damage by a neighbor
You should go ahead and replace your mailbox at your expense to comply with the requirements of both the Post Office and the HOA. That will establish your "damages".
You don't really need a police report, although you could request one -- you haven't indicated how long ago this occurred, and the police don't like taking reports of accidents that happened too long ago. But if you know where the person lives, and your neighbor has provided you with a witness statement, you can make a written demand for your damages with the person responsible for them, indicating that you have at least one witness to their negligent act. That is a requirement if you need to later sue the person in small claims court, which is probably where this is heading.
On your end, this is probably a loss of much less than $100. No one wants to turn that kind of a claim into their auto insurance company and risk an increase in premium. So in your letter, indicate that you will file a claim with their insurance company or sue them in small claims court if they fail to pay for your damages in the next 15 days. Be sure to send the letter CERTIFIED WITH RETURN RECEIPT REQUESTED -- it will cost you about $4.50, but it can be used as proof that you sent the letter as required.
If they fail to respond, file the small claims case, and have your witness provide you with a notarized statement describing the incident. Although a notarized statement is not as good as having the witness testify in court, it is acceptable as evidence in a small claims case, where the rules of evidence are much more "relaxed" than in more formal civil proceedings. If you win, you'll get your damages and court filing fees awarded by the judge. Then you just have to collect . . . which is the same problem you already have . . . but at least with the judgment in hand, you will have other legal remedies available that you don't currently have.
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