In the event of an auto accident, what type of coverage pays for injuries to passengers?

Prepare for the British Columbia Fundamentals Of Insurance Test. Study with comprehensive questions, hints, and explanations. Ace your insurance exam with confidence!

Accident Benefits coverage is specifically designed to provide compensation for injuries sustained by passengers in an auto accident, regardless of who is at fault. This type of coverage ensures that medical expenses, rehabilitation costs, and other related benefits are covered for individuals injured in the vehicle. It plays a crucial role in the overall insurance framework by addressing the needs of all parties involved in an accident, not just the driver or the vehicle owner.

Collision coverage focuses on damage to the insured vehicle from a collision, while liability coverage is aimed at covering damages and injuries that the policyholder may be responsible for causing to others in an accident. Comprehensive coverage addresses losses due to non-collision-related events such as theft or natural disasters. Thus, Accident Benefits coverage is the correct answer, as it specifically targets the injuries sustained by passengers in an auto accident.

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