Car insurance isn't simply an umbrella way of reimbursing you for expenses when damage to your vehicle occurs. An auto insurance policy entails several unique elements that provide differing levels of reimbursement.

The liability coverage on your car insurance provides a financial safeguard if you're at fault in an accident. Liability coverage contains two separate elements: bodily injury liability and property damage liability. Bodily injury insurance assists in covering the medical expenses of persons injured due to an accident you cause. Property damage liability helps with the cost of other drivers' vehicle repairs if you're at fault in a collision.

Personal injury protection, or PIP, helps with medical costs after an accident. Additionally, PIP provides monetary assistance for things like lost income or daycare expenses. 

Medical payments coverage, or MedPay, assists with the cost of medical treatment when you, your passengers, or family members who are driving at the time sustained injuries in a collision. 

Collision insurance pays for necessary repairs or even vehicle replacement when you collide with another car or a stationary object like a fence or wall. Before collision coverage kicks in, usually you're responsible for a deductible, such as $500 or $1,000. 

If your vehicle sustains damage due to factors beyond your control – like weather, theft, or vandalism – the comprehensive policy on your car insurance kicks in, reimbursing you for necessary repairs. A deductible first applies before you receive reimbursement, similar to your collision coverage. 

Uninsured and underinsured motorist coverage provides financial relief when a driver with minimal auto insurance, or none at all, collides with you and causes vehicle damage or physical injuries. 

Driving a vehicle in excellent mechanical condition helps you avoid accidents. The ability to accelerate, brake, and stop quickly enhances your safety out on the road. Whether you're short in stature and need a car that fits your frame or want a full-size pickup truck, where can you go to find a vehicle in great shape at a fair price? At Shift, certified mechanics perform 150-point inspections on every car sold, and you get a free Carfax report for the ultimate in transparency. Shift offers fair, no-haggle prices driven by powerful machine learning algorithms and tons of data. Not only that, but if you live in one of Shift's many service areas, a concierge will drive to you, so you can take a test drive before signing the papers.

Bodily injury liability coverage keeps other drivers and their passengers protected from unforeseen medical expenses when you're at fault in a collision. Not only does bodily injury insurance financially assist injured parties, but it also keeps you from having to pay those costs. 

People injured in an accident may face several expenses during their recovery. These can include emergency care at the scene, hospital stays, and follow-up treatment as they heal. 

And if an injured person has to miss work, they can also lose income as a result. 

For all of these expenses, your bodily injury insurance helps pay, protecting both the injured parties and you from a difficult monetary situation. 

Additionally, if you're at fault in a collision, you could be sued for damages. Bodily injury insurance comes to the rescue here as well, typically helping to pay your legal fees. 

Other aspects of liability car insurance to remember are it specifically covers other drivers, passengers, pedestrians, or people unrelated to you and your vehicle. Liability coverage doesn't pay any of your or your family member's medical expenses if you cause an accident.

Like other areas of your car insurance, such as the collision or comprehensive sections, bodily injury liability is subject to a coverage limit.

Different states mandate minimum bodily injury insurance coverage limits, and considering the amount that's right for you keeps you fully protected from troubling financial scenarios. 

Two separate categories exist under your bodily injury insurance: the per-person limit and the per-accident limit. 

The per-person limit applies a maximum monetary benefit to each person injured in an accident where you're at fault. 

The per-accident limit applies a financial cap to how much an insurance company pays for all parties in an accident. Suppose you're at fault in a traffic collision, and three people suffer injuries. In that case, the per-accident limit sets the maximum amount your insurance company pays for their medical treatment and related expenses.

Owning a vehicle comes with several related expenses like fuel, maintenance, and insurance premiums. Finding ways to save additional funds on costs here and there keeps more cash in your wallet. One way of lowering your obligations in both the short and long term is securing an advantageous auto loan. No matter if you're shopping for something economical like a Ford Focus or a European luxury car like an Audi, BMW, or Mercedes, Shift works with a network of trusted lenders who compete for your business, so you get the best deal on financing. Applying for financing with Shift is easy, with no cost or obligation. And if your credit is less than perfect, there's no need to worry because Shift welcomes co-signers.

Most states mandate bodily injury insurance, so odds are you'll probably have to buy it anyway. But even if you live somewhere with no bodily injury insurance requirement, it's worth having for the essential financial protection it provides.

After a collision where people endure injuries, medical expenses can be costly. Multiple stages of care like on-scene treatment, hospitalization, along with follow-up services like physical therapy, put a financial strain on everyone involved.

And what if an injured party or their insurance company takes you to court? Your bodily injury insurance assists you in surviving a difficult situation. 

Bodily injury insurance provides the help needed for people – whether they're at fault or the victim of a collision – to emerge from accident-related injuries and expenses without emptying their savings. 

With the vital fiscal safeguards it provides, bodily injury liability coverage is an essential aspect of your car insurance. Working with your insurance company, you can determine the coverage limit that works for you and shield you from challenging situations.