What does a Split Limit in an insurance policy refer to?

A Split Limit in an insurance policy specifically refers to the way liability coverage is structured between bodily injury and property damage. It designates two separate amounts: one for bodily injury liability per person and one for property damage. This division allows policyholders to have clear limits on what they would be covered for, providing a way to address different types of claims distinctly.

For example, a policy might have a split limit of $100,000/$300,000/$50,000, indicating that it will cover up to $100,000 for bodily injury per person, up to $300,000 for total bodily injury in an accident, and $50,000 for property damage. This format helps in understanding how much protection is available in each category, which is particularly important when assessing risk and potential liability in various situations.

In contrast, other options reference coverage scenarios that either encompass only one type of damage, total occurrences, or aggregate limits overall, which do not align with the specific definition associated with split limits.