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Legal Liability: What Exactly Does Your Home Insurance Cover?

If you have a home, you most likely have a home insurance policy. However, you may not know exactly what you are covered for until you go to file a claim. This can be a risky strategy as even a small claim against you could cost thousands of dollars. Let’s take a look at what a typical homeowner’s insurance policy protects you against.

You’re Covered If Someone Gets Hurt

InsuranceIf a person gets hurt while on your property, the injured party would likely collect financial compensation from your insurance company. You may not be liable for any injuries if the person who was on your property was an adult who was trespassing. Conversely, the insurance company may not pay out if you acted in a willfully negligent manner when creating dangerous conditions on your property.

Your Policy May Cover Losses Related To Theft Or Damage

Let’s say that your friend brought over an expensive painting to your house because you had the knowledge and expertise to appraise it. If that painting were to be damaged for any reason, your insurance company would likely pay the cost of that damage. The insurance company may also pay if the painting was stolen while in your home.

Homeowners Insurance Covers Damage Done To Rentals

In the event that your tenants are hurt or injured while renting your property, your homeowner’s insurance policy will likely pay their damages. This may be true even if the tenants themselves are responsible for the damage caused either intentionally or by accident. In many cases, landlords require that tenants buy renters insurance to protect against damage done to a property.

Talk To A Homeowners Insurance Agent

If you need to know what is in your policy, don’t be afraid to talk to an insurance professional. At Family Insurance Centers they say that “All insurance agencies are not created equal. Because they offer coverage from multiple insurance companies, independent insurance agencies can provide their clients with superior service because they have a number one goal to find the company best suited for your needs taking into consideration not only budget but also quality of service.”  If you need to buy a policy, an agent can help you pick out a policy that fits your needs and your budget. An agent can also walk you through the process of buying insurance and what you will need to qualify for a policy and they are also available to answer any questions you may have.

Your homeowner’s policy can be an effective tool in helping to protect you financially if anyone gets hurt on your property. It can also help to pay the cost to fix any part of your home that is damaged in an accident. If you need coverage or to learn more about your policy, don’t hesitate to talk to an insurance agent to learn more.


Image courtesy of Stuart Miles at FreeDigitalPhotos.net