If an auto policy has liability limits of 40/60/20, what would be the equivalent combined single limit?

If an auto policy has liability limits of 40/60/20, what would be the equivalent combined single limit?

• A. $40,000
• B. $60,000
• C. $80,000
• D. $100,000

Answer: (C)

A combined single limit (CSL) is a single dollar amount that caps all damages from one accident for both bodily injury and property damage. With split limits like 40/60/20, you use the bodily injury limit that applies per accident (60,000) and the property damage limit (20,000), then add them: 60,000 + 20,000 = 80,000. The per-person limit (40,000) doesn’t enter into the CSL calculation, since CSL covers total injuries in the accident, not an individual cap. So the equivalent CSL is 80,000.

A combined single limit (CSL) is a single dollar amount that caps all damages from one accident for both bodily injury and property damage. With split limits like 40/60/20, you use the bodily injury limit that applies per accident (60,000) and the property damage limit (20,000), then add them: 60,000 + 20,000 = 80,000. The per-person limit (40,000) doesn’t enter into the CSL calculation, since CSL covers total injuries in the accident, not an individual cap. So the equivalent CSL is 80,000.