Covering your home assets and structure is the top concern of your homeowners insurance, but your family's personal liability is also a very important piece of your insurance coverage. If you are about to renew or review your homeowners insurance plan, consider some of these essential factors in your policy details.
- Is personal liability protection necessary?
If there is a lawsuit or claim taken against you or a member of your household, will you be covered? Personal liability insurance is protection against such lawsuits that will pay a specific amount of money for legal defense. If you often have guests or children in your home, personal liability can be important. If someone falls on your property and you are found legally liable for those injuries, the personal liability coverage can help you to avoid financial disaster.
- Do you know what limits you need?
If something happens on your property, do you know how much personal liability you currently have? You can never predict the severity of a personal liability claim, but you can plan ahead and get higher limits of liability to make sure that no matter what happens, you are covered through your liability.
- What coverage plans are not included?
You are not protected in the case of an automobile accident, for instance. Make sure that you know what your personal liability coverage will include and what is not covered so that you have the peace of mind you need.
In addition to the personal liability, you should look to see if certain business activities are covered in your insurance plan. Contact your insurance group to see if liability excursions or other coverage limitations are in your plan, especially if you operate all or a portion of your business from the house.
Finally, look for something called medical payments coverage. With this addendum to the personal liability, you can have the insurance plan pay the medical expenses if someone accidentally is injured on your property, regardless of fault.