What is one of the key components of liability coverage in automotive insurance?

What is one of the key components of liability coverage in automotive insurance?

• A. Coverage for vehicle repair costs
• B. Protection against bodily injury and property damage
• C. Assistance with car maintenance
• D. Reimbursement for travel expenses

Answer: (B)

Liability coverage in automotive insurance is designed to protect the insured from legal responsibility for injuries and damages caused to others in the event of an accident. This means that if the policyholder is deemed at fault in an accident, liability coverage would pay for the injured party's medical expenses (bodily injury) and repair or replacement costs for their damaged property (property damage). This type of coverage is essential as it ensures that the insured can meet financial obligations arising from claims made by other individuals, thereby safeguarding their assets. In contrast, the other options focus on aspects that do not align with the fundamental purpose of liability insurance. Vehicle repair costs, car maintenance, and travel expense reimbursements pertain to different areas of automotive insurance, such as collision coverage, comprehensive policies, and additional benefits, respectively. These components do not protect against the insurer's liability to others in the case of an accident, which is why they are not considered key elements of liability coverage.

Liability coverage in automotive insurance is designed to protect the insured from legal responsibility for injuries and damages caused to others in the event of an accident. This means that if the policyholder is deemed at fault in an accident, liability coverage would pay for the injured party's medical expenses (bodily injury) and repair or replacement costs for their damaged property (property damage). This type of coverage is essential as it ensures that the insured can meet financial obligations arising from claims made by other individuals, thereby safeguarding their assets.

In contrast, the other options focus on aspects that do not align with the fundamental purpose of liability insurance. Vehicle repair costs, car maintenance, and travel expense reimbursements pertain to different areas of automotive insurance, such as collision coverage, comprehensive policies, and additional benefits, respectively. These components do not protect against the insurer's liability to others in the case of an accident, which is why they are not considered key elements of liability coverage.