How to Compute Car Accident Liability

You know you're driving safely when you have car insurance. But you should look at what exactly your liability will be if you're in an accident and how to protect yourself. Here are some steps you can take to make sure you have the right amount of liability insurance and to determine what your likelihood is that you'll be found liable.

Difficulty: Moderately Easy

Instructions

1. Protect yourself against an accident whether it be your fault or another party's fault. Check the liability limits of your car insurance. Liability is listed in two forms on your auto insurance policy: bodily injury and property damage. Bodily injury protects you and the cost of personal injury to another party, and property damage protects you in the event you cause damage to property.

2. Find out whether the other driver or drivers in your accident have insurance and the extent of their insurance coverage. If they don't have insurance, your insurance company will have to pay for your damage if you have uninsured motorist insurance.

3. Find out who's at fault in the accident. Get a copy of the police report on the accident. If you're not at fault, submit the offending driver's insurance information to your insurance company as soon as possible. You want your insurance company to see that you're acting in good faith, and you want to give them as much time as possible to start investigating the offending driver's insurance coverage.

4. Protect yourself on your insurance coverage in the event someone else is using your car. Ensure you have the proper coverage. Liability coverage covers you and anyone driving your car with your permission. It also covers a rental car involved in an accident. If you have someone that lives in the same household driving your car all the time, you may want to consider adding them to your insurance policy.

5. Protect your assets by calculating the value of your home, savings account and any special funds you may have like a nest egg or retirement fund. Liability insurance protects these assets in the event the attorney for the other party decides to go after your finances. Find out what the state minimum is in your state, and then choose higher limits to protect your assets.

6. Understand your liability insurance coverage on your premium papers. For example, 20/40/10 when translated means $20,000 per person bodily injury coverage, $40,000 per accident bodily injury coverage and $10,000 per accident property damage coverage. It's important to understand this part.

[Starlet72]

on 5/7/2008 Call 1-800-Now-Hurt for a free consultation regarding your car accident and liability. I called them and they helped me through every step of the way!