Personal liability coverage is included in standard home insurance policies. This type of coverage protects you financially against claims from injuries and damage to other people or property.
To help explain how personal liability insurance works, here is a guide to the basics:
Personal liability insurance is there to help you if you’re sued or found liable in court. The details can vary from one policy to the next, but here are some examples of situations included in most personal liability coverage:
Some of these scenarios are normally covered by other types of insurance, like home and auto. However, the personal liability coverage is for anything beyond the limit of other policies. For example, if you’re liable for somebody’s medical bills after they’re injured on your property, it would be the amount over and above what that individual’s insurance could pay.
It’s crucial to know what might be excluded from your personal liability coverage. Some examples include:
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For the above scenarios, there may be other specific types of coverage to help instead, such as business liability insurance. If you sustain injuries or property damage, your medical and homeowners insurance would be responsible.
Whether you need personal liability insurance is entirely up to you. If you’re not sure of the best choice, consult with a financial advisor to identify any possible sources of liability you might want coverage for.
I am the Principal Broker and Co-Owner of Nexus Realty LLC (NH) and Nexus Realty Group (MA). I combine a lifetime of living in the area with a legal and commercial insurance background, negotiation skills, market understanding and dedication to serving my clients with all of their real estate needs. Please contact me today to help with buying or selling your next home! I look forward to working together.
REALTOR | Broker Owner | New Hampshire & Massachusetts
Areas of Focus/Expertise: All Residential Real Estate Transactions Including Single and Multi-Family Homes, First Time Buyers, Move-Up Buyers, Seniors, Investment Properties, Short Sales, Foreclosures, Condominiums, Relocation and Vacation Homes.