(800) 253-1482What Is Personal Liability Coverage?
Summary: Personal liability coverage can help you cover legal expenses and medical bills if a visitor is injured while on your property. Also known as Coverage E, this portion of your home insurance policy can even help you restore a loss to someone else’s personal property if a member of your home causes damage. However, not everything is covered and you’re going to need to adjust your limits according to your risk tolerance. Estimated Read Time: 3 mins
Table of Contents:
- What Personal Liability Coverage Covers?
- What Is Not Covered by Personal Liability Coverage?
- How Much Personal Liability Coverage Do I Need?
- How To Save On Your Coverage E Homeowners Policy in Texas
Also known as Coverage E, your personal liability coverage protects homeowners if there is an injury by a visitor while on their property. Personal liability insurance coverage can also protect you if a member of your home causes accidental damage to someone else’s property.
What Personal Liability Coverage Covers?
With Coverage E, homeowners are covered for expenses such as medical bills, legal fees, or restoring a loss for another party outside of their home. Policy limits exist and are typically set around $100,000, or 50% to 70% of your dwelling coverage. However, this can be adjusted as needed. It’s important to discuss your options with a licensed home insurance agent.
What Is Not Covered by Personal Liability Coverage?
There are many different Coverage E exclusions that either require a different form of insurance or you simply pay out of your own pocket to restore the loss. This includes the following:
- Personal liability involving an automobile isn’t covered. You’ll need to have auto insurance in Texas for such losses.
- Anything dealing with a business will also need commercial coverage.
- Injuries to members of your household aren’t covered as you’ll need health insurance.
- Finally, if someone is injured by someone on purpose, a member of your household damages someone else’s property intentionally, or a loss occurs while an illegal activity is taking place, the loss is not covered.
How Much Personal Liability Coverage Do I Need?
The amount of personal liability coverage each homeowner needs varies. Texans should consult with their home insurance agents to determine policy limits and risk tolerance. However, most home insurance policies have between $100,000 and $500,000 worth of coverage. The more personal liability coverage you have, the higher your premiums will be.
How To Save On Your Coverage E Homeowners Policy in Texas
If you want to stay protected for less, there are a few steps you can take. Here’s how to protect your finances from costly liability claims without breaking the bank:
Assess Your Family’s Lifestyle and Risk
You’re going to need to look at your lifestyle and financial risk. This means assessing your assets, the number of people in your household, the activities your household engages in, etc. For example, if you have a lot of financial assets and children who are known to play sports, jump on trampolines, etc., you may need more coverage.
Compare Personal Liability Coverage Insurance Carriers
To save on home insurance in Texas, you need to shop and compare rates. This is why Freedom Insurance Group partners with 25+ home insurance carriers to quickly assess your needs and find the right policy for you. With only a few clicks, you can get a quick, free home insurance quote online. You can also ask an agent about saving on personal liability coverage from trusted Texas carriers.
