Property damage liability
Updated for plan year 2026
In plain terms
Property damage (PD) liability pays to repair or replace other people's property that you damage in an at-fault crash: most often their car, but also fences, buildings, or road signs. It is the third number in a limit like 100/300/100, where $100,000 is the property-damage cap. It does not pay for damage to your own vehicle.
A plain example
You rear-end a new SUV and total it. Your PD limit of $50,000 pays to replace it. If you had only the state-minimum $15,000 of PD, you would owe the difference between that and the SUV's value out of pocket.
Why it matters
The average new vehicle costs far more than many states' minimum PD limits, so a single collision with an expensive car can exceed your coverage. Raising PD is inexpensive and keeps you from paying the gap yourself.