In the context of auto insurance, what does liability coverage protect against?

Liability coverage in auto insurance is specifically designed to protect the insured from financial loss resulting from injuries or damages they may cause to other parties in an accident. This means that if the insured is found to be at fault in a collision, their liability coverage would take care of the costs associated with the medical expenses of injured individuals, as well as any property damage to other vehicles or structures involved. By providing this protection, liability coverage helps ensure that the insured can meet their legal responsibilities and financial obligations arising from accidents they cause, thus safeguarding them from potential lawsuits and significant out-of-pocket expenses.

Damage to the insured vehicle, medical expenses for the insured, and theft of the vehicle are protected under different types of coverage, such as collision coverage, personal injury protection, and comprehensive coverage, respectively. These coverages serve distinct functions and address specific risks associated with vehicle ownership and operation.