As a car owner in Pennsylvania, the many insurance policy options may be a tad confusing, especially if you’re unfamiliar with how they work. Selecting the right coverage involves several factors, including budget, driving habits, and state requirements. Aside from offering personal protection, it’s also designed to pay for damages to others involved in accidents you cause.
In this blog, you’ll understand Pennsylvania’s liability and whole coverage insurance policies. By the end, you’ll have a good idea of when to opt for either.
What Is Liability Insurance in Pennsylvania?
When it comes to personal injury, attorney Dennis Abrams of Lowenthal & Abrams Injury Lawyers says, “Most drivers opt for limited tort because of the lower premiums. While these policies are easy on the pocket, they limit the ability to sue in the case of an accident caused by a negligent driver.”
As you can infer from the name, liability insurance pays for damages in accidents where you, the policyholder, are liable. Maybe you rear-ended another driver on your way to work. You may have glanced at your phone briefly, but it was still long enough to miss the pedestrian crossing the road.
Legally, you are liable for damages the other person suffers, whether for medical bills, pain and suffering, or lost wages. Liability insurance offers financial protection by paying for these costs. The minimum requirements in Pennsylvania as of 2024 are at least $15,000 per person and $30,000 per accident. There’s also a minimum limit of at least $5,000 in property damage.
What Is Full Coverage in Pennsylvania?
Full coverage typically includes liability insurance and protections for your own vehicle and medical costs, regardless of who is to blame for the crash. Below are the different components of full coverage:
- Liability insurance: Damages you cause to others.
- Collision coverage: Pays for repairs to your vehicle.
- Comprehensive coverage Covers damages to your car that may not be related to a crash, such as theft, vandalism, fire, or natural disasters.
- Personal injury protection (PIP): Medical expenses for you and your passengers.
The Critical Difference Between Liability and Full Coverage
You may have heard about liability vs. full coverage insurance and wonder what the difference is and which one you should choose. The main distinction is that liability coverage protects others from your mistakes, whereas full coverage is more comprehensive, offering liability, collision, and comprehensive coverage.
Why You Need an Attorney
After an accident, following up on insurance policies may become hectic, and insurance companies may sometimes be difficult to work with. Having an attorney beside you speeds up the procedures and ensures you are fully compensated, particularly in cases when you encounter low settlement offers, denied claims, or unfamiliar policy language.
If you’ve been injured in a crash, the law entitles you to compensation from the at-fault party’s insurance. But the process is not as straightforward as it may seem. It is still up to you to file your claim and negotiate compensation with the insurance company. And as you may well know, an insurance company is a business that must turn a profit. To do so, these firms minimize payouts to claimants like you.
That’s why insurance adjusters are never on your side. They may use underhanded tactics to jeopardize your claim, like getting you to sign documents you don’t understand or utter words that may hurt your claim.
For these reasons, leaving the process of pursuing a claim to your lawyer can be helpful. A good attorney understands the tactics insurance companies use to undermine claims. They will calculate the settlement you are owed and fight for nothing less.
Conclusion
Choosing between liability and full coverage in Pennsylvania depends on your personal needs, budget, and driving habits. Full coverage provides much more protection than liability insurance. It’s wise to consult with a personal injury attorney to protect your assets by making the most relevant decision.
