What is the coverage for property damage under state mandatory insurance law?

The coverage for property damage under state mandatory insurance law is typically set to ensure that individuals are financially protected in the event of an accident that results in property damage. The correct answer of up to $20,000 per occurrence aligns with many state minimum requirements, which are often set to help mitigate the financial impact of incidents involving damage to others' property.

This coverage is designed to cover the costs of repairing or replacing property that is damaged due to the policyholder's actions. The amount specified in this mandatory insurance law reflects a balance between sufficient protection for the injured party and a limit that policyholders can reasonably afford when purchasing insurance.

Other potential amounts, such as $15,000, $25,000, or $50,000, might be relevant in other contexts or jurisdictions, but they do not align with the standard options seen in states with a $20,000 maximum for property damage, reinforcing the significance of that figure in the context of mandatory insurance requirements.