Which type of liability insurance policy limit provides a single limit for all claims from one accident?

The type of liability insurance policy limit that provides a single limit for all claims arising from one accident is single limit liability. This means that regardless of the number of claims or the total amount of damages, the insurer will pay up to the single limit specified in the policy for all covered claims resulting from that particular incident. This approach simplifies the claims process for both the insured and the insurer, as it streamlines coverage and limits negotiation complexities related to multiple claims arising from the same event.

In contrast, aggregate limits cover the total amount for all claims during a policy period but do not limit the payout to a single incident. Split limits designate separate amounts for bodily injury and property damage, which can complicate coverage if claims exceed one of the limits. Per occurrence limits specify the maximum amount paid for each incident but do not provide coverage beyond that limit for any subsequent claims from the same event. Thus, single limit liability is the optimal choice for affording comprehensive coverage in a straightforward manner for any one accident.