Liability for property damage

[JesseFrank]

What does this mean in a car insurance policy ?

Is this the other parties car or is this property like in real estate ?

[AAInsuranceBrokers]

Property damage is not confined to only other vehicles (or real estate) but any property not owned by the insured.

[stevenl]

Damage to other people's possessions (as opposed to bodily injury).

[JesseFrank]

I'm getting even more confused by the answers.

If my policy has a coverage of 1 million for property damage, and a 2 million car is total loss, I will be held responsible for 1 million right ?

[AAInsuranceBrokers]

With your example, if you cause 1m Baht of damage to a Third Party's property (remember it does not just mean bricks and mortar) plus your vehicle is a loss (with an insured value of 2m Baht) then the claim would be for 3m Baht - you would not have to pay 1m Baht.

[JesseFrank]

With your example, if you cause 1m Baht of damage to a Third Party's property (remember it does not just mean bricks and mortar) plus your vehicle is a loss (with an insured value of 2m Baht) then the claim would be for 3m Baht - you would not have to pay 1m Baht.

Why is it so difficult to give a straight answer, no need to talk in circles ?

Third party insurance, the value of my vehicle doesn't come in play as it isn't insured.

Third party policy with a coverage of property damage to a limit of 1 million.

I have an accident and I'm in the wrong. The car of the other party has a value of 2 million and is total loss.

Do I have to pay anything and if so how much ?

Now let me add some questions. In a third party policy what are the recommended coverage limits for liability property damage, liability bodily injury/death each person ?

Reason I ask is that I don't want to overpay on a policy, but I also don't want to be under insured.

[stevenl]

With your example, if you cause 1m Baht of damage to a Third Party's property (remember it does not just mean bricks and mortar) plus your vehicle is a loss (with an insured value of 2m Baht) then the claim would be for 3m Baht - you would not have to pay 1m Baht.

Why is it so difficult to give a straight answer, no need to talk in circles ?

Third party insurance, the value of my vehicle doesn't come in play as it isn't insured.

Third party policy with a coverage of property damage to a limit of 1 million.

I have an accident and I'm in the wrong. The car of the other party has a value of 2 million and is total loss.

Do I have to pay anything and if so how much ?

Now let me add some questions. In a third party policy what are the recommended coverage limits for liability property damage, liability bodily injury/death each person ?

Reason I ask is that I don't want to overpay on a policy, but I also don't want to be under insured.

He gave a straight answer, but your question was not completely clear.

3rd party: coverage 1 mio, damage to other's property 2 mio by your fault: yes, you're liable for 2 mio, of which your insurance will pay half. No worries though, people driving a 2 mio car will have their own insurance, you will not have to cough up that missing 1 mio.

[JesseFrank]

With your example, if you cause 1m Baht of damage to a Third Party's property (remember it does not just mean bricks and mortar) plus your vehicle is a loss (with an insured value of 2m Baht) then the claim would be for 3m Baht - you would not have to pay 1m Baht.

Why is it so difficult to give a straight answer, no need to talk in circles ?

Third party insurance, the value of my vehicle doesn't come in play as it isn't insured.

Third party policy with a coverage of property damage to a limit of 1 million.

I have an accident and I'm in the wrong. The car of the other party has a value of 2 million and is total loss.

Do I have to pay anything and if so how much ?

Now let me add some questions. In a third party policy what are the recommended coverage limits for liability property damage, liability bodily injury/death each person ?

Reason I ask is that I don't want to overpay on a policy, but I also don't want to be under insured.

He gave a straight answer, but your question was not completely clear.

3rd party: coverage 1 mio, damage to other's property 2 mio by your fault: yes, you're liable for 2 mio, of which your insurance will pay half. No worries though, people driving a 2 mio car will have their own insurance, you will not have to cough up that missing 1 mio.

Now, that's what I call a straight answer.

You have also some recommendations as to what would be correct ( advisable) coverage limits for a third party policy ?

In the example you mention, will the insurance of the other party not come after me to recover their losses ?

Edited June 11, 2014 by JesseFrank

[stevenl]

I have never heard of the insurance company going after the liable person. But it could happen, and I would presume it sometimes will happen.

My coverage for property damage is 5 mio btw.

[JesseFrank]

I have never heard of the insurance company going after the liable person. But it could happen, and I would presume it sometimes will happen.

My coverage for property damage is 5 mio btw.

That is interesting, so my question is, why one needs 3rd party insurance at all if that's the case ?

[stevenl]

I have never heard of the insurance company going after the liable person. But it could happen, and I would presume it sometimes will happen.

My coverage for property damage is 5 mio btw.

That is interesting, so my question is, why one needs 3rd party insurance at all if that's the case ?

Sorry, should quantify my statement: if it is over the insured amount. As I said: I would presume it sometimes will happen, plus I really would not know all cases where they were to try and recoup their losses from the un/under insured person.