The maximum amount your insurance policy will pay for damage to another person’s property in the event that you are determined to be at fault for an accident is indicated by the property damage liability limits. For instance, your property damage liability policy would start to pay for these expenses up to the set amount if you were at fault in an accident that caused damage to another person’s vehicle. It’s important to choose your limits carefully because insufficient coverage may require you to pay for expensive out-of-pocket charges that exceed your coverage limitations.