Having a 100/300/50 auto insurance policy means you have $100,000 in coverage for bodily injury liability per person, $300,000 for bodily injury liability per accident, and $50,000 for property damage liability.
What the numbers really mean
The first number represents the bodily injury liability per person. That is, it’s the maximum amount your insurance company will pay out for each person that is injured in an at-fault accident. With a 100/300/50 insurance policy, you are responsible to pay for any costs above $100,000.
The next number denotes the bodily injury liability per accident. Bodily injury liability per accident is the maximum amount your insurance company will pay out for a single accident. Let’s say you were in an accident that involved three injured people, your 100/300/50 policy would cover each person up to $100,000. But if you were in an accident with more than three people, let’s say five or six, your insurance policy would only pay out up to $300,00 and no more than $100,000 for a single individual.
The third number is the property damage liability. A 100/300/50 insurance policy means your insurer will pay out a maximum of $50,000 to cover damage to another driver’s vehicle or property. Damaged property in an accident may include a mailbox, fence or building.
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Other insurance coverage to consider
Along with bodily liability and property damage liability coverage, here are a few other types of auto insurance coverage you will want to consider adding to your policy. Having full coverage protects you financially giving you peace of mind while on the road.
Collision – Damage to your own vehicle isn’t typically covered under property damage liability. To help pay for any repairs to your car, you need collision coverage. If you have a leased car or an auto loan, you may be required to get collision coverage.
Comprehensive – If your vehicle is vandalized or is damaged from a hurricane or hail storm, comprehensive coverage will help pay for repairs. You will have to meet the deductible associated with this coverage, but any costs beyond that will be covered by your insurance company.
Uninsured/underinsured motorist – Uninsured motorist coverage is important because it helps pay for medical bills or vehicle repairs if an uninsured driver hits you. Underinsured coverage comes into play if you’re in an accident and the other driver is at fault but doesn’t have enough insurance to cover all the expenses.
Personal injury protection – Personal injury protection, or PIP, helps pay for expenses such as child care or lost wages that are sustained after an accident. Personal injury protection may also cover some medical expenses. Note, PIP is not available in every state.
Medical payments coverage – Also known as MedPay, this coverage pays for expenses if you require a visit to the hospital or need X-rays or surgery after an accident. Medical payments coverage also helps pay for medical costs for passengers in the vehicle.