When picking an auto insurance policy, it’s essential to compare different liability limits, as they can significantly affect your coverage and financial protection. For instance, Geico spousal liability coverage is something to consider, and understanding single limit vs split limit insurance helps in evaluating which option offers better , For example, if you were involved in an auto accident and the court awarded damages totaling $100,000, and your liability limit was only $50,000, you are personally responsible for the additional $50,000 payment. It’s crucial to understand your policy’s limits to anticipate such costs. Different Types of Liability Insurance Coverage, Release of Liability Negotiations: Insurers may negotiate limited releases of liability for defendants in exchange for policy limit payouts, protecting them from further asset seizure. Absent voluntary settlement, creative long-term repayment plans, or asset protection, underinsured defendants remain exposed to aggressive collection efforts for , Liability car insurance isn't just a legal requirement—it's essential financial protection that can save you from devastating out-of-pocket costs if you cause an accident. While it may be tempting to choose minimal coverage to save money, the potential financial consequences of being underinsured far outweigh the cost of adequate protection., Unlike bodily injury liability, which has per-person and per-accident limits, property damage liability is a single limit that applies to all damage caused in a crash. The minimum required coverage often falls short of actual repair costs, especially in collisions involving newer or high-end vehicles., .