Personal Liability Insurance

Personal liability insurance protects you and your family members against claims made by others because of damages or injuries caused to them or their property. It is a component of a homeowners insurance or an umbrella insurance policy but can be bought separately as well. The policy covers your expenses when you are accused and held liable for the damages or injuries regardless of the site of the accident in your home or elsewhere.
Personal liability insurance provides coverage in situations like the follows:
a. Someone is injured on your property, and it’s your fault.
b. You accidentally cause damage to someone else’s stuff or place.
c. Someone (or a pet) listed on your policy causes damage to someone else.

Personal liability insurance also covers legal expenses like:
a. Medical expenses of the claimant
b. Property damage expenses of the claimant
c. Pain and suffering expenses of the claimant
d. Lost wages of the claimant
e. Life insurance death benefits for the claimant’s family
f. Legal defense costs

However, coverages will not be available through this policy in the following cases of:
1. Bodily Injury, if:
a. You, or someone listed on your policy, is injured.
b. Someone is injured on your property when you were not at fault.

2. Property Damage, if:
a. You cause damage to someone’s place or stuff intentionally.
b. Your car damages someone’s place or stuff (auto insurance covers this if you have one)
c. You conduct business operation from your home, and someone gets injured or something is damaged in the course.
d. A property that is rented to you is damaged.