You never know when something could happen to you or your children. Private liability insurance is within your homeowners policy, and covers liability costs for injury or property damage sustained by others, protecting you and your family from financial disaster.

Coverage of Private Liability Insurance

Private liability insurance protects you from financial situations that may arise during a mishap or careless act. Private liability insurance covers medical treatment, compensation and salary losses due to disability or injuries. If a person in your home family has an injury related to you or your family, private liability insurance can cover medical treatment, loss of earnings and compensation due to pain and suffering. It can also cover material damages, such as cost of repairs to your property, replacement costs and missed profits.

Examples of Private Liability Insurance Use

If someone falls down your stairs or slips on your floor, your private liability insurance will cover medical expenses related to mishap. If your child throws a ball through the neighbor’s window, then private liability insurance should cover the cost of repairs. Additionally, private liability insurance protects you against lawsuits. For example, if someone falls on your side way crack and injures their leg, they could sue you for medical expenses and lost wages. The insurance company will defend you if you are ever sued and will pay damages to the injured person.

Inclusion in Homeowners Policy

Private liability insurance is a part of your homeowners insurance policy. Most policies will have a minimum amount of private liability coverage. Such as, the insurance company will only pay a specified total amount to the injured person. The amount can be increased, depending on what you need.

Exclusions of Private Liability Insurance

There are a few exclusions to private liability insurance, as with most insurance policies. Your homeowners policy may not cover all situations that you or your family members may be responsible for causing injury or property damage. It is important to read the policy carefully to understand what is and is not covered under your private liability insurance. Talk to your insurance provider to determine if all of your liability needs are being met and ask what exclusions there are.

Purchasing Private Liability Insurance

When looking to purchase private liability insurance, it is important to compare quotes from various companies. Talk with your other insurance provider, such as the company that holds your auto or business insurance policy, to determine if they offer discounts for taking out an additional insurance policy. Look at different companies to ensure you are working with a reliable and trusted provider. There are many scandals out there, so be weary of cheap advertisements and those offering “basic” coverage.

Private liability insurance should be a part of your homeowners policy and can help protect you and your family members against liabilities and legal obligations. You don’t want to get stuck in a financial crisis because of a mishap, so having private liability insurance is a must.