Which Liability Claims Are Excluded from Your Homeowners Insurance Policy?

If someone is hurt on your property, your liability insurance will cover the costs of their medical
bills, missed earnings, and other expenses. Also, accidental harm to another person's property
and associated legal costs are covered by your coverage.

This does not imply that you can always count on your homeowner’s insurance to provide you
with financial support in the event of an accident or property damage. You might be responsible
for the expenses in some cases.

Intentional Acts
If you or another member of your family intentionally harms someone on your property, that
individual can sue you, and you can be held responsible for medical bills and other costs. If a
person who lives in the home intentionally damages another individual’s property, that will also
be excluded.

Your Family’s Losses
Your homeowners insurance policy’s liability coverage will apply to injuries and property
damage if the person who experiences the loss is not a member of your family. It won’t cover
injuries that you or another family member sustain at your house. In that case, you will have to
file a claim through your health insurance policy.

Dog Bites
If your dog bites a guest, or if it bites someone while you’re taking it for a walk, your
homeowners insurance may or may not cover associated costs. Some insurers exclude coverage
for dogs of certain breeds, while other companies exclude coverage for dog bites altogether.

Home-Based Business
Losses related to a home-based business are generally excluded from homeowners insurance
coverage. If you run a business out of your house and someone suffers an injury or property
damage that’s related to your business, your homeowners insurance company can refuse to pay.
That’s why you should have a separate insurance policy for your home-based business.

Losses That Exceed Your Amount of Coverage
Your liability coverage has a dollar limit. Standard coverage limits are high enough to cover
most liability claims, but sometimes a person is severely injured, can never work again, and
requires long-term medical care. Those costs might add up to more than the homeowners
insurance policy’s coverage limit. 

If you find yourself in that situation, the injured person can sue you for expenses that your
insurance doesn’t cover. You might lose your home, savings, retirement investments, and other
assets. Umbrella insurance can protect you from that type of scenario. It can provide coverage above
the limits on your homeowners insurance policy and shield your assets.

Go review your insurance coverage!

Contact your insurance provider or agent right away if you have any concerns about the
coverage provided by your homeowners insurance policy or if you believe there might be a gap
in it. To be completely insured, you might need to obtain an umbrella policy or a home-based
business policy, increase your coverage level, add an endorsement, or all of the above.

JUAN MESTRE
REALTOR ASSOCIATE

RAISING THE BAR FOR REAL ESTATE SERVICES

CONSIDER: Since I'm not a lawyer but your neighbor's Realtor Associate, you should consult an
attorney and your CPA before making any decisions.

If you wish to find your FOREVER Home or to start your journey towards Home Ownership
Let’s start working together reach me at 305-776-5677 or register at www.juanmestre.com or email
mestre.j@ewm.com.

Sourced and digested from several locations including but not limited to:
RisMedia for BHHS.com/blog, EWM Realty