Broadly speaking, insurance covers you for potential loss resulting from risks such as burglary or theft, severe storms, fire and also your personal liability. Your home liability coverage protects you in the event that someone is injured on your premises or you are responsible for damage to someone else’s property. For example, if you failed to remove a tree known to be diseased, and it fell on your neighbor’s car, you may be held liable for the damage due to negligence. Note that liability insurance will not cover acts of violence or intentional damage. 

Your liability insurance policy would also typically provide coverage if:

• • Your child throws a baseball through the neighbor’s window

• Your dog bites a visitor to your home 
• A visitor is injured on your backyard swing set or trampoline, or by falling on your icy sidewalk

If a liability claim is filed against you, it may result in your insurance paying for property repairs, medical or funeral costs, or even a lawsuit if the injured party chooses to launch a legal process. When evaluating the amount of liability coverage that makes the most sense for you, be sure to fully discuss your limits and deductibles with your agent. Take time to understand your risks, and determine whether you will be well covered in various circumstances. In the event of a disaster, the costs of recovering can devastate household finances. Quality home insurance can make a difficult situation bearable and help you get your life back on track. 

Homeowners Insurance should cover:

• Structure of home: Insure your home for its replacement value, which is how much it would currently cost to build your home from scratch. (Be sure you have an accurate estimate of your home’s value.) The amount it would cost to sell your house is not a good indicator of the replacement value.
•  
• Personal belongings: Policies cover your personal belongings at 50 to 70 percent of your home’s value. This may not be enough coverage if you have many valuable items. To insure them at replacement cost, conduct an inventory of your personal belongings.

  Liability

  : Considering the cost of personal injury lawsuits, you may want to purchase liability insurance with higher limits of $300,000 to $500,000.

The value of your home and the amount of coverage you buy will largely dictate the amount you will pay for your premiums. But there are other factors that can affect your premium as well, including things like the crime rate in your area and past claims you may have made.  

It’s always important to comparison-shop for the best Homeowners Insurance rates and the best value. An independent agent can compare prices from several different insurance companies to find the right policy for you.

Liability can be defined as “a legal or financial obligation.” As a property owner, you are legally responsible to make sure the premises of your home and property are safe, and you can be held accountable if anything happens on your property, whether due to oversight or negligence. Keep the following in mind regarding liability and negligence:

• Property owners must keep their property safe, even for trespassers.
• A homeowner can be liable for any dangerous conditions. 
• The owner can be held responsible for everything from slippery walkways to leaving tools, toys, ladders, and equipment out that cause harm to a visitor.
• Homeowners are responsible for the actions of their pets; some companies will not provide coverage to owners of high-risk breeds, such as pit bulls.

For items with a high-dollar value, your insurance agent can issue you scheduled personal property coverage. Jewelry, collectibles, and fine art, for example, can be properly protected when scheduled into your Homeowners policy.

While Homeowners Insurance provides a lot of important coverage, it can’t cover everything. Disasters like hurricanes, floods, and earthquakes typically aren’t covered by your insurance and require additional coverage to help protect you. Be sure to check your Homeowners policy for inclusions/exclusions.