Does Bodily Injury Cover Me After a Car Crash?

If you're involved in a car crash, bodily injury coverage can be a lifesaver. This type of insurance helps pay for medical expenses, lost wages, and even funeral costs if the accident is fatal.

The extent of bodily injury coverage varies by state and insurance provider. In most states, it's mandatory to carry a minimum amount of bodily injury coverage, but the specific requirements can differ.

Having sufficient bodily injury coverage can make a big difference in your financial well-being after a car crash. Without it, you could be left with a mountain of medical bills and other expenses.

Bodily injury liability insurance is a crucial coverage that protects you from financial losses in case of an accident. In Michigan, this insurance covers your liability for pain and suffering, excess medical benefits, lost wages, and other economic damages.

If you're at-fault in a car accident, your bodily injury liability insurance will cover damages up to your policy limit, which can range from $20,000 to $1,000,000 or more. It's essential to carry sufficient coverage to protect your personal assets.

Bodily injury liability insurance covers passengers in your vehicle, as well as pedestrians and bystanders who may be injured in an accident. This means that if you're involved in a crash, your insurance will cover damages to others, not just your own medical expenses.

Here are some specific expenses that bodily injury insurance covers:

If you're sued for damages in a civil court, your bodily injury liability insurance will defend you against claims. However, if you're found liable and the damages exceed your policy limit, you may be responsible for paying the excess amount out of your own pocket.

To illustrate the importance of carrying sufficient bodily injury liability insurance, consider this example: if you're at-fault in a crash and the other party has only $50,000 in No-Fault medical coverage, you could be held liable for paying all of their accident-related medical bills in excess of their coverage level, which could run into hundreds of thousands or millions of dollars.

In Michigan, bodily injury liability insurance covers you if you're at-fault in a car accident that injures or kills someone. This insurance pays for pain and suffering compensation, excess medical benefits, and lost wages up to your policy limit.

The extent of your coverage depends on your liability policy limit, which can be as low as $250,000 for a single person and $500,000 for two or more people. However, many experts recommend carrying higher limits, such as $500,000 and $1,000,000, to protect your assets.

If you're at-fault in an accident and the injured person's medical bills exceed their No-Fault PIP medical benefits coverage level, you could be held liable for the excess amount. This is why it's essential to choose the right coverage limits for your situation.

Bodily injury liability insurance also covers passengers, so if you're at-fault in an accident and your passengers are injured, your insurance will pay up to your policy limit for their pain and suffering compensation, excess medical benefits, and lost wages.

The following table shows the minimum and recommended bodily injury liability insurance limits in Michigan:

Keep in mind that if you choose lower limits, you'll need to sign a specific form approved by the Michigan Insurance Commissioner, which must outline the risks of choosing lower liability limits.

If you're involved in a car accident out-of-state, your Michigan bodily injury liability insurance has got you covered. Michigan bodily injury liability insurance applies if you're at-fault in causing a car accident out-of-state.

You'll get coverage for bodily injury and property damage that occurs within the United States, its territories and possessions, or in Canada. This coverage is equivalent to what's required by the financial responsibility laws of the place where the injury or damage occurs.

Here are some key points to keep in mind:

You can rest assured that your Michigan bodily injury liability insurance will help you cover the costs of an out-of-state accident, including damages for economic loss if the victim is a non-Michigan resident.

In Maryland, the minimum liability coverage required is $30K for bodily injury per person, $60K for bodily injury per accident, and $15K property damage. This can leave you vulnerable to lawsuits and asset seizure if you're at fault in an accident.

In Michigan, the risk of liability has increased due to changes in the No-Fault law, which now allows drivers to choose less than unlimited No-Fault PIP medical benefits coverage or opt-out of it altogether. This means drivers could be held liable for medical bills in excess of their coverage level or all medical bills if the victim opted-out.

The cost of bodily injury liability insurance varies depending on factors such as age, driving history, vehicle type, and coverage limits. In Nevada, drivers must carry a minimum of $25,000 of bodily injury liability insurance for one person and a minimum of $50,000 per accident, but these limits may not be enough to cover all damages.

Here are the minimum bodily injury liability insurance requirements for some states:

In Michigan, it's recommended to carry bodily injury liability insurance with limits of $500,000 and $1,000,000 to protect against significant financial risks.

In Nevada, drivers must carry a minimum of $25,000 of bodily injury liability insurance for one person and a minimum of $50,000 per accident. This is a crucial aspect to consider when evaluating the cost of bodily injury coverage.

The cost of bodily injury liability insurance varies depending on several factors, including your age, driving history, and vehicle. Teens and the elderly tend to have higher premiums, and those with a history of accidents and infractions also pay more.

Your vehicle's make and model can also impact your insurance rates, with more expensive or less safe vehicles costing more to insure. In addition, your zip code, credit score, and marital status can all play a role in determining your insurance costs.

Insurance costs can range from a few hundred to a few thousand dollars a year, depending on your individual circumstances.

Bodily injury liability insurance doesn't cover your own medical bills. For that, you'll need to purchase optional MedPay or Uninsured Motorist Coverage, or have another source of medical bill payments, such as personal health insurance or Medicare.

If you're injured in a car accident and your medical bills exceed your No-Fault PIP medical benefits coverage level, your bodily injury liability insurance will cover the excess medical benefits, up to your policy limit. This can be a significant amount, especially if you have opted out of No-Fault medical coverage altogether.

In Michigan, drivers who are at-fault in causing a car accident and have opted out of No-Fault medical coverage can be held liable for paying all of the accident-related medical bills of the injured person, which can run into hundreds of thousands or millions of dollars.

To illustrate this, let's consider an example: if you're at-fault in causing a car accident that results in serious or catastrophic injuries to another person, and that person only has $50,000 in No-Fault medical coverage, you could be held liable for paying all of their accident-related medical bills, which could be much higher than their coverage level.

Here's a quick summary of what bodily injury liability insurance covers and doesn't cover:

The minimum insurance coverage in Maryland is $30K for bodily injury per person, $60K for bodily injury per accident, and $15K property damage. This can be a recipe for disaster if you're liable in a serious crash.

If you're liable in a crash where four people are injured, the maximum $60,000 coverage has to stretch four ways. That's a whole lot of financial strain.

Sadly, these coverage amounts wouldn't even come close to satisfying a serious injury judgment against you. It's a risk you don't want to take.

Increasing your coverage to $50K per person/$100K per accident might only cost you an extra 50 bucks a year. It's a small price to pay for peace of mind.

As you get older and acquire more assets, increase the coverage to at least $250K per person/$500K per accident. Your future self will thank you.