What You Should Know About Personal Liability Insurance
When someone owns a home, they are required to have homeowners insurance to cover damage and other issues that could occur with the property. Without this insurance in hand, most lenders won't agree to provide the buyer with a mortgage loan because of the risk. One aspect of homeowners insurance that's included in most policies is personal liability insurance, which is designed to cover the medical expenses and potential lawsuit costs if someone is injured on the property in question. If you are injured on someone else's property and believe that they are at fault, you may have the ability to file a claim or lawsuit to cover your medical expenses and similar costs. Let's say that you're walking along a property and a dog bites you. If the bite occurred on the owner's property, the personal liability insurance that the homeowner has could cover your medical bills, lost wages, and any emotional distress you experienced as a result of the injury.Amount of Personal Liability Coverage That Every Homeowner Should Have
When a homeowner purchases personal liability insurance as part of their homeowners insurance policy, they will have the ability to obtain different amounts of coverage. In many cases, the amount of personal liability should scale in accordance with your assets. If a homeowner purchases $100,000 in coverage but is sued for $500,000, the plaintiff would have the ability to seek additional assets from the homeowner since the insurance policy doesn't provide enough coverage. If you have $600,000 in assets, most of this money could be wiped out if you were to be sued for $500,000, which is why it's important to obtain the right amount of personal liability coverage when you're first shopping for a homeowners insurance policy.Costs Associated with Personal Liability Insurance
The personal liability coverage that's provided within homeowners insurance is relatively affordable. Most homeowners insurance policies will automatically include $100,000 in liability coverage, which means that the costs are baked into the price of the entire policy. Increasing coverage to anywhere from $300,000–$1,000,000 only costs around $15–$35 more per year.Information Needed When Filing a Claim
In the event that you want to make a personal injury claim against a homeowners insurance policy, there are many things that you should be aware of. The most important thing to keep in mind is that the insurance company must be notified very soon after the accident has occurred. However, this notification must be made by the homeowner as opposed to the injured party. While the requirements for a personal injury claim can differ depending on the policy, the homeowner is typically required to provide a substantial amount of information that includes:- The names and addresses of any witnesses as well as the injured individual
- A detailed description of the accident, which should include the location and time of the accident
- A description of the injuries that were caused by the accident
- The policy number
- The identity of the policy holder
How Liability Is Proven

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