How Much is Liability Insurance?

According to the most recent calculations by the National Association of Insurance Commissioners, or NAIC, the national average cost of liability insurance per driver, annually, is $538.73. Now, because this is an average, you should be aware that many factors contribute to how much you personally may pay for liability insurance. Read on below to learn more about what affects your liability insurance policy cost or contact our finance department here at Land Rover Annapolis for more information.

What Determines Liability Insurance Rates?

A few factors will determine your monthly liability insurance rates in Annapolis. Remember, liability insurance covers the other party involved (bodily injury and property damage) in an accident in which you are found to be at fault. You’ll need to have collision insurance or secure car repair financing to pay for damages to your own vehicle. The following list includes some, but not all, of the elements that can impact your liability coverage costs:

• Vehicle type
• Your location
• Your credit score
• Your driving record
• Your net worth
• Your age
• The type of policy structure you choose

How Much Does a Liability Insurance Policy Cost?

Curious about how car liability insurance policy rates are influenced by the policy’s structure? Liability insurance can be structured as split limits— often denoted by a 3 number structure like 100/300/50— or combined single limit (CSL). A split structure allows you to set individual limits for bodily injury costs per person, for all persons, and for property damage. A CSL is one limit dispersed across the accidents total costs.

A 100/300/50 split liability coverage policy is a common structure. For example, in a policy like this, your insurance would cover a maximum of:

• $100,000 bodily injury per person
• $300,000 total bodily injury in an accident
• $50,000 property damages

Ultimately, the maximums Edgewater drivers choose will affect the monthly rate. Minimums are set by the state.

Learn More From the Annapolis Finance Team

If you have more questions regarding car insurance like liability insurance, collision coverage, or uninsured motorist coverage, our finance team is a resource for you. Contact us if you are interested in learning more or wondering if a new Land Rover is right for you. We are committed to getting drivers in the greater Crofton area in a Land Rover they love for a price they can be proud of. Stop in today.