What is Personal Liability Protection?

Personal Liability Insurance (Coverage E) is the section of a standard home insurance policy that protects you or covered family members against lawsuits for injuries or property damage. This type of insurance coverage would protect you in various situations where a lawsuit is filed, including the following:

Your dog bites a neighbor, who files a lawsuit because of the expense of treating the wound and because it kept him out of work for several weeks.
Your mailman falls on your porch steps because of a faulty railing and injures his back and leg, leaving him unable to work.

Standard home insurance policies will typically include a minimum of $100,000 in coverage for each liability claim. That coverage could be used to pay legal expenses or any award made in the case. Note, however, that you would be responsible for expenses or awards once your limit is exhausted.

Some homeowners choose to take out an extension of this coverage if they feel they need to further protect themselves against liability lawsuits. One common reason for taking out an extension of liability coverage would be a homeowner who owns a swimming pool.

Another type of liability coverage is Personal Injury Liability or an Umbrella Liability Policy, which protects the insured against lawsuits involving libel, slander, defamation of character, false arrest, detention, imprisonment or malicious prosecution, invasion of privacy and wrongful eviction or wrongful entry. This policy can also cover liability protection for auto accidents with the minimum underlying auto limits. (Be sure to talk to your agent.)

Is every lawsuit covered?

No. While you or covered household members can get protection from lawsuits alleging that you’ve caused injuries to others, lawsuits involving the transmission of a communicable disease typically are excluded by providers. Also excluded are lawsuits with allegations of mental/physical/sexual abuse and anything involving the sale, manufacture, or distribution of a controlled substance.

Standard home insurance – other protections

Many people don’t realize that personal liability coverage is part of standard homeowners insurance. Do you know what else is included? Check out the other parts of your policy here:

Coverage A- Dwelling

Coverage B- Other Structures on Your Property

Coverage C- Personal Property/Contents

Coverage D- Loss of Use

Coverage E- Personal Liability Protection

Coverage F- Medical Payments