If you have a mortgage on your home, you must carry homeowner’s insurance. However, you may not have enough coverage. Most people just purchase the base amount of coverage and never give it another thought. Liability coverage is an important component of this policy, and often determines if you need more coverage.
What Liability Covers
You may know that the liability portion of your policy covers you if someone is injured on your property. The most common scenario is when a dog bites a person. However, this is only one instance of how you could be liable. Other scenarios include:
A person falls down your front steps and is injured
A neighbor child falls off a trampoline and breaks an arm
A friend of your child falls out of a tree and hits his head
Your son hits a baseball through the neighbor’s window
A neighbor child is rushed to the hospital for a near-drowning in your swimming pool
These injuries and damages can range from minor to major expenses, but all of them come from negligence or are considered accidents rather than intentional.
If a person brings a lawsuit against you for an injury or damage to their property, the liability coverage pays for legal representation as well as payment of expenses and any additional settlement up to the maximum amount of coverage you have.
Medical Payments
Under the liability coverage, the policy includes medical payments. This part of the policy pays for medical costs associated with the incident. This includes hospital visits, ambulance costs, surgery, medication, therapy and many other expenses.
This portion of coverage is only for guests or non-resident members who suffer an injury. It doesn’t include you or your family members if you are injured.
Exclusions
Your homeowner’s policy doesn’t cover any injuries caused by a vehicle. It also doesn’t cover claims that come from conducting business on your property. People who operate a home business and see clients at their home must have special coverage.
Your policy will list other restrictions that you should pay attention to. If a claim arises because of one of these restrictions, you may be left paying the costs out of your own pocket.
Getting Enough Coverage
Medical expenses add up quickly in a serious injury, which is why it is important to ensure you have adequate coverage. You can increase your protection with an umbrella policy. This policy provides special coverage in a large claim or when a lawsuit is filed against you. It protects your home and other assets as well as any future earnings. How much coverage you need depends on various factors, including how much you have in assets.
It’s important to talk with an insurance agent and discuss your needs. Your agent can explain your policy and liability coverage to you. They can also work with you to find a policy that protects you and your family from unfortunate situations. The right policy will give you peace of mind so you can enjoy your home.
ASA Insurance provides excellent coverage for car and home insurance in the Salt Lake City area with the lowest rates to the English and Spanish communities . Affordable rates and superior service for all home, auto and business/commercial insurance needs.
