These three numbers represent the amount of liability coverage you have on your policy. Liability coverage is the coverage you carry to compensate other parties for property damage and bodily injury if you are at fault for an accident. The first number is the amount of bodily injury coverage you carry on a per-person basis. The second number is how much coverage you carry on a per accident basis. In this situation, you would have $15,000.00 per person limits and $30,000.00 per accident limits. This means that if you cause an accident and one person is hurt, they will have a maximum of $15,000.00 from which to be compensated for their injuries, damages and losses.
However, if you were to cause an accident and say three or four people were hurt as a result, there would only be a collective total of $30,000.00 from which all the injured parties could recover. The third number very simply refers to the amount of property damage coverage you carry on your policy. Here, it would mean you have $25,000.00 limits from which to compensate the other party for damage to their vehicle or other property that is damaged as a result the accident.
In Louisiana, a 15/30/25 policy is the minimum amount of liability insurance you are allowed to carry by law. Should you cause an accident where there are substantial injuries, damages, or medical bills, you could be exposed to personal liability once your policy limits are exhausted. The higher the limits of coverage you choose to carry on your insurance policy, the more protection from personal liability you will have. Obviously, this is an important consideration when choosing the amount of coverage to carry on your policy. If your goal is to avoid personal exposure in the event that you should cause an accident with injury, it would be wise to carry more than minimal coverage on your insurance policy if you can afford to do so.
My Insurance Policy Says I Have “15/30/25” Coverage, What Does This Mean? is a post from: Personal Injury Lawyers News