Examples:
It was determined by the police officer that Dana was at fault for the automobile accident she was involved in, therefore Dana's liability coverage paid for the other party's medical expenses and repairs to their car.
Definition:
One's legal responsibility to pay for damages due to an accident or loss. Liability coverage for automobile insurance is the one coverage that is required in all states.
Related Terms
• Collision Coverage
• Comprehensive Coverage
• Limits
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Liability
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