Bodily injury insurance typically covers damages for people injured due to the insurer's negligence, explains the National Association of Insurance Commissioners. Bodily injury insurance pays for medical expenses, pain and suffering, and lost wages for other parties injured during a vehicle accident. The insurance is not allocated to pay for the insured's vehicle damage or personal injuries.
Coverage for bodily injury insurance is commonly sold with amounts designated per person with a total per loss maximum established, according to the National Association of Insurance Commissioners. For example, an insured person may opt for 100/300/50 coverage, which indicates that $100,000 is designated for bodily injury per person injured, $300,000 is designated for the total amount available per accident and $50,000 is designated for property damage following the vehicle accident.
Insurance coverage designated for the insured and parties riding in the insured's vehicle is often classified as personal injury protection or residual bodily injury liability coverage, according to the National Association of Insurance Commissioners. Benefits vary within each state but commonly cover rehabilitation expenses, medical costs, funeral expenses and survivor loss benefits.
Many insurance companies or vehicle lenders designate a minimum amount of coverage required for bodily injury and personal property, although the amounts vary by state, explains the National Association of Insurance Commissioners.