All drivers in Kentucky are required to have liability insurance coverage in place. This protection pays out when the occupants of the other vehicle are injured in an accident, and it also includes a property damage component.
The minimum amount of bodily injury liability coverage that a Kentucky driver needs to have in place is $25,000 for damages incurred by a single person and $50,000 for injuries sustained by all victims in an accident. The bodily injury liability coverage also pays for funeral expenses in the case of a fatal accident.
The minimum level of property damage liability coverage required under Kentucky state law is $10,000. The property damage insurance pays for the cost of repairing the other driver’s vehicle after the accident, as well as objects like fences, sheds, sign posts, and mailboxes.
Uninsured/underinsured motorist insurance is not required for Kentucky residents, but it is recommended that drivers put this protection in place. Uninsured motorist coverage pays when the policyholder’s injuries or damage to his or her vehicle was caused by a driver who does not have coverage or was the result of a hit and run.
Underinsured motorist coverage comes into play when the other driver has some insurance coverage, but it isn’t enough to fully pay for the cost of damages he or she caused. The other driver’s insurance will be used first, and then the underinsured coverage will be used to make up the difference.