What does Per Person Limit mean? Read on to discover the definition & meaning of the term Per Person Limit - to help you better understand the language used in insurance policies.
Per Person Limit
In liability insurance, the maximum amount the insurer will pay for one person's injuries. If two people are injured in an auto accident and the at-fault driver's policy has a $50,000 per person limit, the insurer will pay no more than $50,000 to each person for his or her injuries. If one person's injuries are worth $25,000 and the other person's are worth $75,000, the first claimant will receive $25,000 and the second will receive the per person maximum of $50,000 from the insurer.
We hope the you have a better understanding of the meaning of Per Person Limit.