Split Limit

Updated: 29 February 2024

What Does Split Limit Mean?

A split limit policy is one that allocates specific portions of the total amount of coverage to particular risks. The division among the risks is expressed in numbers such as 200/100/50, meaning (in this case) that the limit is $200,000 for one specified risk, $100,000 for a second, and $50,000 for the third.

Insuranceopedia Explains Split Limit

Split limit policies are common in vehicular insurance. The total coverage is usually spread across across three risks, often:

  • Bodily injury of one person
  • Bodily injury of all those involved in the accident
  • Property damage

So, if you have a maximum coverage of $350,000 with a split limit is 200/100/50, $200,000 is the maximum amount for one person involved in an accident, $100,000 for all the people involved in an accident, while $50,000 is the limit for property damage caused by an accident.

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