Laws and Requirements in Arizona for Property Damage Liability Coverage
Forty-nine of the fifty states require drivers to have property damage liability coverage. The exception here is New Hampshire, which requires drivers to be able to show they have the necessary funds in case they are at fault in an accident. It is important to have a firm grasp on what property damage liability coverage is and be aware of the requirements that Arizona has for it.
What is it?
Property damage liability coverage helps pay to repair the damage to another person’s property or vehicle in a situation where an accident occurs when it’s found to be your fault. This type of coverage is part of a car insurance policy and is required in Arizona.
While this type of coverage helps pay for the damage at-fault drivers cause to another individual’s vehicle or property, it does not cover damage to the at-fault driver’s vehicle. In order for the at-fault driver to have coverage on their damaged vehicle, they would need collision coverage on his or her policy.
Requirements for Property Damage Liability Coverage in Arizona
Drivers are required by law to have property damage liability coverage. In Arizona, there is a minimum coverage level of $10,000 that drivers must meet or exceed for property damage liability coverage. If you’re looking for an auto insurance company in Phoenix, it is important to take into consideration your needs, your location, your budget, and any additional coverages you may want. When it comes to car insurance, you might want to choose coverage limits that are on the higher side in order to protect yourself fully in the event of an accident.
Do You Need Property Damage Liability Insurance?
The short answer is “yes”. Aside from property damage liability coverage being required by law in nearly all fifty states, this type of coverage is a must. Many people believe, “I’m a good driver, if I get into an accident it won’t be my fault,” and they may not choose the best property damage liability coverage option. Though it may be true, and they might indeed be exceptional drivers, there is simply no way of knowing what could potentially happen in the future. This coverage is designed to protect Arizona drivers from financial ruin, should property damage occur.
Fully understanding what property damage liability insurance is and what the requirements and laws are that come along with it can save you an incredible amount of money in the long run. Even if your premium increases in order for you to have a higher coverage benefit, it will be minimal, it will keep you legal, and it will be far more affordable than trying to pay hundreds of thousands of dollars out of your pocket for damage to property that you cause.
Choose Summit Insurance Advisors as your Phoenix auto insurance company; we can help you determine what car insurance policy is best for you.
Contact us today for more information or for any questions you may have regarding property damage liability coverage in Arizona.