Blog

Personal Liability Coverage is an Essential Part of Your Homeowners Insurance

Liability insurance protects you and your family from financial disaster if someone files a claim against your homeowners insurance, sues you, or if a court renders a judgment against you for being legally responsible for someone else’s injury or property damage.

Personal liability coverage within a homeowners policy provides for both bodily injury and property damage liability claims. This means that if you or a family member is responsible for someone else’s injury or property damage, your personal liability coverage will likely pay for the damages or medical expenses. In addition, if someone who is injured or has incurred damage sues you, your insurance company may pay to defend you or the responsible member or your household.

Your homeowners liability coverage will not protect you for intentional injuries and damage. Other exclusions include (but are not limited to):

  • Damage caused by your car
  • Injuries or damages arising from business or professional activities, including those related to a home office
  • Injuries or damages caused intentionally by you
  • Injuries suffered by members of your household

Most homeowners policies have personal liability limits of $100,000 per occurrence, but in many cases—particularly those in which the homeowner has sizable assets—additional liability protection is needed.

Those who feel that even the maximum limits of liability protection within a basic homeowners policy is insufficient can purchase personal umbrella insurance. A personal umbrella policy is excess liability coverage. You can purchase it in increments of $1 million of coverage, and it kicks in when the limits of your other liability coverage has been exhausted for covered claims.

Your liability coverage under your homeowners policy will likely travel with you; you will have coverage for injuries or damage caused by you or your family members, even away from your home.

Do you understand the importance of liability coverage for homeowners? Do you feel your coverage is sufficient?

Questions about a claim? Contact Janie Thomas, Claims Specialist, at 800-627-4441 or 706-629-4441.