We get insurance to protect us when the unthinkable happens. And when our own actions on the road result in an accident, that protection becomes even more vital.

Bodily injury liability coverage can shelter you from financial responsibility when you are at fault in an accident that results in physical injury to your passengers or any other person. Whether it’s minor bumps and bruises or injury-related death, you (the at-fault driver) will carry the burden of paying for medical care and much more.

When you shop for an insurance policy, bodily injury liability coverage typically falls under the general umbrella of liability coverage. “Liability” means “responsibility,” and it refers to two different types of financial responsibility in an accident: damage done to people (bodily injury) and damage done to the vehicles or other property (property damage).

What Bodily Injury Coverage Covers

If you get into a wreck and are at fault, your bodily injury liability coverage will then kick into action.

Note: Fault is a very critical factor in car accidents, because it determines who must pay for all the damage. If the accident results in physical injuries to you, your passengers, or anyone else involved, be sure to contact law enforcement (if they are not already present). The law enforcement officer will typically declare someone at fault after learning the details of the collision.

Bodily injury liability coverage does not cover your own injuries or the injuries of anyone else named on your insurance policy. Those injuries are usually covered by personal injury protection coverage. Bodily injury liability coverage does, however, cover any other person involved in the accident. It is often used to pay for one or more of the following:

• Medical bills
• Time lost from work
• Legal representation for injured parties
• Funeral expenses
• Long-term rehabilitation or nursing care
• “Pain and suffering,” which is an amount determined by a court to address the emotional or physical stress the accident or injuries caused

There are exceptions to every rule, and this goes for your liability coverage. Be sure to check your policy carefully to know these exceptions. Here’s one that’s probably common to all policies, and probably also a no-brainer: Your policy won’t cover injuries in an accident that you intentionally caused.

Who Needs Bodily Injury Coverage

Simply put, every driver. You never know when you might cause an accident, and you can easily protect yourself from the staggering debt caused by legal suits or extensive medical costs.

At this time, however, not all states require this coverage. But you should know that the states that don’t require it also don’t offer any extra protection against financial responsibility in an accident?meaning that no matter where you live, if you cause an accident with bodily injury to a person, you will be liable for all costs.

Some states that require the coverage will waive that requirement as long as you can show proof of financial responsibility in another way. Usually that means a bond in a specific amount (varying by state) issued by an authorized company, or a certificate of self-insurance (this mostly applies to dealers or companies with more than 25 insured vehicles).

Where to Get Bodily Injury Coverage

All major insurance carriers offer bodily injury liability coverage, even in states where it is not required. Shop around to find the coverage that best suits your needs.

How MuchYour cost for the coverage is based on how much coverage you want. The higher the amounts, the higher your cost will be.

If bodily injury liability coverage is required in your state, chances are that the minimum requirement is listed in a “split” amount, such as 15/30 or 50/100. Bodily injury coverage policies always have two amounts, representing:

• The maximum payout per person
• The maximum payout in total

If your policy has bodily injury coverage of 50/100, that means it will pay up to $50,000 per person injured in an accident, but only to a maximum of $100,000.

A good rule of thumb for many buyers is to purchase the highest bodily injury liability coverage limit they can afford. If your coverage isn’t sufficient to pay for all injury-related costs in an accident you caused, the injured person’s lawyer can then come after you for the remainder of the money.

However, if you’re bringing in barely $30,000 a year and don’t own a home or any other valuable assets?meaning the lawyers wouldn’t get much even if they did sue you?it might make more sense to purchase a lower level of coverage for the time being. Just remember to increase your coverage as your needs change and your assets increase.