In a liability policy structured with limits of 25/50/15, the numbers represent specific coverage limits based on the types of claims that can arise from an accident. The first number (25) indicates the maximum amount of coverage available per individual for bodily injury. The second number (50) represents the total maximum coverage available for all injuries in a single accident. The final number (15) pertains to property damage coverage.
In this context, the correct interpretation is that the policy provides a limit of $25,000 for each injured person. This means that if one individual is hurt in an accident, the maximum they can claim from the liability policy is $25,000. The total limit for all claims from the accident cannot exceed $50,000, which applies to multiple injured individuals.
Understanding this structure is essential for both consumers and insurance professionals, as it delineates the specific amounts available under different scenarios of injury in an accident.