Car crashes usually result in vehicle damage. In fact, out of more than 400,000 car wrecks in Florida in 2018, approximately 230,000 of them only involved property damage.
Following car wrecks, damage to vehicles or other property can prove very expensive. As a result, the property owner might wonder if a car insurance policy will cover the costs of the repairs. Indeed it can, and it can even cover the property of others when the damage is the insured driver’s fault. Here’s how this coverage works.
Car Insurance for Third-Party Property Damage
Drivers who are at fault for accidents often have to repay those affected by their mistakes. They usually must use liability insurance to pay for these losses. However, Florida is technically a no-fault insurance state. Therefore, drivers only must repay others in certain circumstances. They must pay for other losses using their own policies.
However, third-party property damage is not subject to the state's no-fault laws. So, if a wreck is your fault, then other involved parties will have a right to file against your own auto policy for their losses. As a result, fault does matter when it comes to property damage accidents.
Because of this regulation, Florida requires drivers to carry property damage liability (PDL) coverage worth at least $10,000. Should you cause an accident, the affected party will be able to file against your PDL coverage for their damage. Likewise, should someone else be at fault for your damage, then you can file against their PDL coverage.
Other Coverage for Vehicle Damage
There are limits to PDL coverage. Therefore, you will need to carry other coverage alongside your liability insurance if you want full protection for all property damage a wreck might cause.
For example, PDL coverage does not cover your own vehicle damage from at-fault accidents. You’ll need to have collision insurance if you want to receive coverage for such losses.
Additionally, though another driver might be at fault, they might lack liability insurance. For example, you might become the victim of a hit-and-run accident. In this situation, you cannot determine whether the other driver caused the accident. In such situations, your own policy can provide uninsured motorist coverage. It will pay for your own property damage when the at fault party does not have PDL coverage.
If you need help understanding when you have liability for property damage costs, speak to your auto insurance agent. They can help you build your policy to always provide adequate compensation.
Also Read: Types of Auto Coverage