# Best answer: How do you read insurance numbers?

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## What does 25k 50k 25k mean?

Answer. “The numbers you are referring to correspond to the limits of your liability car insurance. The first number is the maximum payout for bodily injury liability for one person injured in an accident. The second number refers to two injured parties.

## What does 100 300 50 represent on an insurance policy?

The numbers 100/300/50 represent your policy coverage limits. If you have these auto insurance numbers, your insurance company will pay for \$100,000 in bodily injury liability per person, \$300,000 in bodily injury liability per accident, and \$50,000 in property damage liability.

## What does 100k 300k 100k mean?

You should have at least 100,000/300,000/100,000 split limit coverage. That means: \$100,000 of coverage per person in an auto accident, \$300,000 of coverage altogether for injuries in an auto accident. \$100,000 of coverage for property damage to other people’s vehicles.

## What is the first 10 20 10 mean in insurance?

If you have 10/20/10 coverage, your insurer will cover up to \$10,000 for damaged property if you are at fault for the accident. This amount can be used up rather quickly, especially if you are involved in an accident that involves multiple vehicles.

## What do the 3 numbers in auto insurance mean?

Reading auto insurance numbers is easy, the numbers 25/50/10 define the insurance coverage limits. The first number refers to the bodily injury for one person, the second is for bodily injury liability for all persons and the third is for property liability damage. Many states mandate these three types of coverages.

## When an insurance company says that a car is totaled What does that mean choose the best answer?

If your insurance company says your car is a total loss (AKA totaled), it means the cost of repairing your vehicle is more (or close) than the car’s value. Your insurance company will pay you to replace the vehicle instead of repairing your totaled one.

## Do I really need 100 300 insurance?

Is 100/300 Insurance Required? No U.S. state law mandates that drivers obtain 100/300 insurance coverage. However, 100/300 policies are standard bodily injury liability limits set by national auto insurance carriers, and some states mandate that drivers purchase 100/300 insurance coverage in special circumstances.

## How do you interpret the numbers 100 300 on your insurance policy?

Example 100/300. This means the most the policy will pay is \$100,000 per person up to \$300,000 per accident. If an injured person has injuries up to \$100,000 — your insurance will pay that amount. However, if you have lower liability limits like 25/50 and the person has \$100,000 in injuries.

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## Is it better to have a \$500 deductible or \$1000?

If you have a \$1,000 deductible your insurance pays for anything over that amount. That \$500 difference in your deductible could make a big difference in your premiums. And the lower the deductible you want the higher your premium could go. For some people having a lower premium each month is worth the high deductible.

## What should my liability coverage be?

You will be required to carry a minimum amount. For example, in California you need to have at least \$15,000 for bodily injury to one person, \$30,000 for bodily injury to multiple people in a single car accident and \$5,000 for property damage (written as 15/30/5).

## Is an alternator covered under insurance?

Will insurance cover an alternator replacement? Alternators usually die from normal wear and tear. As a result, insurance policies typically don’t cover the cost of a new one. The only exception would be if the alternator was damaged in a car crash.

## Why do drivers need auto insurance What are the basic types of auto insurance coverage?

Property coverage pays for damage to, or theft of, the car. Liability coverage pays for the policyholder’s legal responsibility to others for bodily injury or property damage. Medical coverage pays for the cost of treating injuries, rehabilitation and sometimes lost wages and funeral expenses.