April 18, 2023
person driving a car

Article reprinted in part from WalletHub

Bodily injury liability is car insurance coverage that pays for the medical bills and lost wages of other people when you are at fault in an accident. To gain more insight about this type of insurance, WalletHub posed questions to a panel of experts including Rutgers Law Professor Adam Scales:

What types of drivers should get more than the minimum amount of Bodily Injury Liability Insurance?

Bodily Injury insurance is the main component of automobile insurance. It protects the car owner from liability, up to a point where the owner is at fault in an accident-causing bodily injury to others. BI coverage is required everywhere, but the amount varies by state. A typical minimum requirement is $25,000.

Adam Scales, Rutgers Law Professor
Adam Scales, Rutgers Law Professor

This minimum is too low for several reasons. It will not provide adequate compensation for anything more serious than a broken leg (with minimal complications). That can leave injured parties either without an effective remedy or motivate them to find collectible assets in the possession of the at-fault owner. Realistically this is not a viable strategy - most people carrying minimum insurance have limited assets, and even when that is not the case, collecting personal assets is not easy.

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Rutgers Law Media Contact:
Shanida Carter

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