Increased Limit Factor (ILF)

The multiplier used to price higher liability limits. Doubling your limit doesn’t double the premium — big losses are rarer, so the extra coverage is cheaper per dollar.

This is a friendly general explanation, not legal or policy language. Exact coverage depends on your policy, carrier, and state. 🤝

Written and reviewed by the We Insure Things team — licensed independent insurance agents. Last reviewed July 23, 2026. Questions? Ask a licensed agent.