Personal Liability Insurance
Personal liability insurance helps to protect a person from a liability suit when someone is hurt on their property. It covers more than just bodily injury but covers possible compensation that is necessary when being sued by another. Personal liability insurance can protect someone who is driving a car, a recreational vehicle or who owns a home. A person can be sued for negligence and involuntary or unintentional actions by another. When being sued if a person does not have the money to pay a judgment then the courts may require that future earnings are paid to the injured party. In addition, a person's assets could be ceased if the court so decides. This could cause a tremendous strain on a person especially someone who has a family to support. Consider coverage that protects one's family from harm. "If any of you lack wisdom, let him ask of God, that gives to all men liberally, and upbraids not; and it shall be given him" (James 1:5).
Protection in today's world is more important than ever before because there are so many people out there who will not hesitate to sue another. Personal liability insurance can help to ease a person's mind against possible lawsuits. What makes it easy and accessible to those who do not mind suing are the ads of attorneys that handle personal liability cases. Many of these types of advertisements do not require any money to retain services so it is very easy for a person to sue others. Coverage to protect self and family should be considered. Premiums for a policy will depend upon the size of the amount of protection and how much property is owned along with the size of the family that the policy protects. The higher the dollar amount for coverage the higher the premium will be.
A homeowner's policy, renter's policy, and auto policy can include umbrella insurance that covers personal liability. This might be a less expensive way to have protection. Personal liability insurance can offer thousands and even millions of dollars worth of coverage depending upon one's personal circumstances and the risks involved. An umbrella policy will pay after the homeowner's or renter's policy amounts have been exceeded. Those interested in coverage should contact their agent and find out how much premiums will increase by adding an umbrella to an already existing policy. Compare the costs of adding an umbrella of personal liability compared to taking out a separate policy since adding umbrella coverage does provide added protection against liability with less costs for premiums.
Intentional injury or damage is not usually covered under personal liability insurance. Intentional injury as a result of self defense is normally covered. There may be other questionable situations that should be considered when opting for coverage. One questionable situation might include doing volunteer work for an organization that does not have liability coverage. Any type of injury occurring while doing volunteer work may not be covered by a typical personal liability policy so it is important to find out upfront what types of situations may not be covered. Also, it might be best to ask the organization that one is doing volunteer work for if they have coverage. Not feeling free to volunteer one's services to help others in need is something that should never have to happen.
Some policies may cover the customer no matter where they are located at the time of the occurrence. Personal liability insurance should be set up where a person does not have to worry about someone suing him or her no matter what the situation or where the harm occurs. The policy should include personal injury and property damage for all insured. The particulars of a policy normally include damages and injuries resulting from various occurrences such as bodily injury, mental anguish, false arrest, malicious humiliation, libel, slander, or invasion of privacy, among others. Traveling to a different location from where one lives or resides is not covered by all policies unless the policy so states. Not reading the fine print of any policy could result in surprises later on.
Damages can occur to a person when they have their name forged or credit cards stolen. Personal liability insurance with some policies can be set up to cover a certain amount of losses because of legal obligations caused by theft or any unauthorized use by another. If the use of a credit card or debit card has been authorized by the owner then the policy would not pay the damages. The covered party must notify the insurance company immediately when loss occurs that is unauthorized. Identity theft is so common today that it needs to be included on a personal liability policy. Any expenses to bring restitution may include costs when businesses or creditors sue for the amount incurred by the one who stole another's identity.
Exclusions that might be included on personal liability insurance are damages incurred while towing other vehicles, unloading or loading, contamination due to environmental pollutants, racing, charges for discrimination or abuse, or intentional acts of any kind. Other exclusions that are common include damage from nuclear, biological, or chemical hazard, fungi and mold, and losses covered in a contract or agreement that is covered by business coverage. Insurance companies may vary in what is considered exclusions with a policy. An interested party should sit down with the policy and read over all of the fine print before completing the agreement. Be sure and ask the agent about anything that is not clear or easily understood with coverage.
Property Liability InsuranceHaving property liability insurance helps to protect a business owner from someone getting hurt or having an accident on his property and filing a lawsuit afterwards. When a person chooses to open a physical building from which to operate the business, rather than doing so from home, he has to worry about keeping not only his employees safe, but also the public. And with so many other things to think about, such as hiring employees, training them, ordering inventory, etc., making sure that the company has adequate insurance coverage often gets overlooked. And even after purchasing property liability insurance, the policy is not generally something that the owner thinks about unless there is an accident and subsequent medical bills. The owner should, however, definitely consider how much getting this necessary coverage will cost, what factors will affect the price of the premiums, and whether or not buying a supplemental policy is necessary before actually meeting with an insurance salesman.
Just as someone applying for car insurance should expect that various factors will affect the amount of the premiums for coverage for an automobile, there are different things that will determine what a person has to pay for property liability insurance. Two business owners with two very different types companies can apply for the same amount of coverage and still have to pay two different prices for their policies. One reason for this is that underwriters take into account when issuing property liability insurance what type of business the person is operating. Certain places of business will automatically carry a greater threat of accidents and potential danger. For example, if someone opens a restaurant or a store, then customers will be continually in and out of the facility. The more people who are on the premises over a period of time equates to a greater likelihood that someone may get hurt. The heightened risk, as insurance companies would see that, often equates to larger premiums. On the other hand, if a person's business is not open to the public, for example if the space is just used for offices, then the premiums should be lower since there is not as great a risk.
As with any other type of insurance, whether it be life, auto, umbrella, etc, a person needs to decide on how much property liability insurance to purchase. Several different factors will affect the ultimate amount of coverage that a person decides on. The first concern is that a business owner should make sure to avoid any policies whose premiums do not fit within the company's budget. While it is extremely important to have adequate coverage for the property in the event of an accident, a business owner does not need to bankrupt himself by having large policies that he cannot pay for. There is no reason why a person should not be able to find a policy and a company that offers affordable and comprehensive packages that will both protect the business owner and put his mind at ease without putting a strain on his wallet.
When going to purchase property liability insurance, a business owner, ideally, will already have done his research in order to make sure he is getting a good deal. Shopping around for different insurance policies and comparing their prices is a great way to find out what kinds of premiums are reasonable versus those that are too expensive. A person can use the Internet to quickly gather research about different policies offered, and what each specific one entails. By knowing beforehand what a person wants, or at least having a general knowledge of what would work best for his company, the business owner is ensuring that he does not walk away with a policy that is more than he can afford or that is not suited to his needs. A person needs to avoid rushing into any purchase, especially one that is so important, making sure to first do a great deal of homework about the matter. "Prepare thy work without, and make it fit for thyself in the field; and afterwards build thine house" (Proverbs 24:27).
What happens if a business owner is still concerned after purchasing property liability insurance because he fears the maximum allowable amount may not be enough? He can then choose to purchase an additional policy, an umbrella policy that will add even more protection. These types of additional policies will kick in after the original liability insurance has reached its maximum payout. Ideally, a person would never have to worry about using the extra plan; it is merely there as a safety net for worse case scenarios. But since lawsuits have become an increasingly popular means of settling disputes, having extra coverage will help should someone who is injured on the business owner's property ever file suit. These umbrella liability policies, combined with a person's own standard liability policy, will prevent the owner from having to pay steep judgments out of pocket.
Making wise decisions as a business owner includes making sure that the company is protected from the threat of lawsuits, and that the customer is protected in the event of an accident. Since no one can predict an accident, or the severity of one, having property liability insurance is the best safeguard, even if it costs extra money and never needs to be used. No matter how booming a business is, sometimes all it takes is one accident to severally damage the company's bottom line. So an entrepreneur needs to be aware of the fact that profits and products are not the only things that affect the success of a company. But by planning for the worst, and making sure that the company has adequate coverage, he can circumvent any potential disasters his business might face.