Bodily Injury Liability coverage pays for any damage you cause to other persons as a result of a motor vehicle collision. The State of Florida does not require drivers to purchase bodily injury coverage. However, most people purchase at least $10,000.00 in bodily injury liability insurance coverage. What is interesting is that for an additional $10.00 to $20.00 per month, you can purchase higher limits of between $15,000.00 and $25,000.00 in coverage.
If you own personal property which has significant value (jewelry, investments, real property other than your home), you should consider purchasing bodily injury liability to adequately protect your assets. While your residential home is protected from being used to pay for damages arising out of a motor vehicle collision, (called a homestead exemption), other property, as well as your wages, could be subject to collection efforts, if you fail to carry an adequate amount of bodily injury liability coverage.
Homeowner’s Insurance policies, which protect your home, usually include liability coverage which will protect you if someone falls on your property or is injured on your property in some manner. Most homeowner’s policies provide a standard amount of $100,000.00 in liability coverage. However, for a small additional premium (usually less than $20.00), your insurance agent can have your liability coverage increased to $300,000.00.
Lastly, most insurance policies provide “umbrella coverage,” which is a separate insurance policy, which provides, “excess,” liability coverage of $1,000,000.00 or more. Umbrella policies are not expensive and should be purchased if you have a significant amount of assets to protect.