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What is combine single limits in commercial insurance?

Updated: 8/17/2019
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15y ago

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You're probably talking about Auto Insurance - and Liability can be written one of two ways: 1. With a separate limit for Bodily Injury per person and per accident, and a separate limit for Property Damage per accident; or 2. With one limit, combining both Bodily Injury and Property Damage per accident, also known as Combined Single Limit. Different limit options are usually available for either option, and these limits are often compared with buckets. If you have the first option above, you have three buckets, but one - Bodily Injury per person - takes limits from the Bodily Injury per accident bucket. Even if these limits are used up, you can't reach into the Property Damage bucket for Bodily Injury. With Combined Single Limit, you only have one bucket and all liability claims pull from that same bucket.

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