Liability



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Definition of Liability

Liability refers to fault. Drivers who have caused a car accident due to their own actions, negligence or failure to act may be held liable to the victim of the accident and may be responsible for providing restitution. Drivers are required under state law to purchase liability insurance to pay for the expenses of a car accident. Car accident liability insurance may provide restitution and compensation for physical injury, property damage, medical costs and lost wages.



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