Worldwide Liability

Your property policy as an owner or tenant gives you coverage for your accidental, unintentional injury to persons or property on worldwide basis.

If you are climbing the Eiffel Tower and accidentally knock someone down the stairs which results in an injury then your home insurance would respond to a liability claim. If you push someone down those stairs, your policy would not respond.

Consider the situation if you are at a Halloween costume party. There is something about wearing a costume that frees up the inhibitions of people. You may do something a little "silly" that ends up damaging a person's property or even injures someone. Yes, as long as it is unintentional and accidental then your homeowner insurance policy would be looked at to pay the claim.

This liability extension applies to your children and animals. This is why certain insurance companies are concerned about certain types of dogs such as pit bulls. Accidents do happen.

While many people realize a property policy is important to cover your possessions there is great value in having the personal liability coverage that a property policy gives you.

Do consider having at least a $2 million liability coverage. Often the cost to increase from $1 million to $2 million homeowner or tenant coverage is under $20/year.

Be aware that some commercial/business policies restrict the loss that is insured to loss occurring within a certain area. Therefore if you were going beyond your usual working area, check with your broker to ensure your coverage.