Property Damage (PD) Liability Insurance Coverage
As with bodily Injury coverage, property damage liability coverage is designed to protect you personal assets if you have caused an accident. Not only this coverage pays for damage cause to other driver’s car, but also pays for damage to their personal property as a result of the accident. This may be any type of property that has been carried at the time of accident, as well as assets or static objects such as fences, homes and other type of buildings.
Property damage liability is paid out by insurance companies only as a single limit per accident. This means your insurer will pay the highest costs of property damages up to the limit of the policy coverage. The amount paid doesn't change no matter how many people where involved in an accident.
When choosing property damage liability limit, you need to take into account how much of your financial assets are at risk if you are found at fault in an accident. One can’t predict how much damages can be caused as a result of a single accident, but discussion this your insurance provider can get you some insight on limit of coverage you need.
As with bodily injury coverage the limit of property damage liability shouldn't not be underestimated, as you will be personally responsible for any property damage costs outside you policy coverage limit.