Property damage liability coverage is one of the most important types of car insurance you can get. It covers you if you or any of your passengers cause an accident that results in damage to property owned by someone else. This includes damage to the property and the vehicle of another driver. This type of coverage is only available with a collision component.
For example, if you accidentally hit a parked car while backing out of a parking space, your damage liability coverage would pay for the repairs to the other car. So if you rear-end someone, the damage to their car and yours will be covered. If you have comprehensive coverage, the damage to your car is covered, too.