Liability insurance isn’t just for cars. It’s also used to protect homeowners, renters, and business owners. Because, without coverage, accidents can be extremely costly.
What is liability insurance?
It’s insurance coverage that protects you from claims related to injuries and damage to property or other people. Unless the damage is intentional.
Do I really need liability insurance?
Even if you feel like you don’t have much to lose, you should still consider liability insurance. Because accidents that happen now can impact your future finances, too. Read: Without liability insurance, you may need to pay garnishments if a court order seizes part of your income to cover debt related to a lawsuit. .
How much does liability insurance cost?
Liability insurance is often included as part of larger insurance policies. Think: Renters or homeowners insurance. So the price may depend on your individual policy.
Renters insurance policies usually come with built-in liability insurance. Average policy costs depend on your location, insurance carrier, and other factors. Expect to pay around $14.92 per month for your renter’s insurance policy.
Homeowners insurance policies also include liability coverage. The average cost for a homeowners insurance policy in 2022 ranges from $1,200 to $1,400 per year. Remember to talk to your agent to make sure you understand the details.
What about liability insurance for my business?
Business insurance policies keep your personal and business assets separate and protected from the unexpected. If you own a business, you’ll definitely need liability coverage. FYI: Lawsuits, accidents, and even natural disasters can cause a business to close.
And you can find different policies designed specifically for certain industries and job types. Think: for food services, media content, teachers, and vendors.
Employment Practices Liability Insurance
All kinds of businesses should consider employment practices liability insurance. Which can protect you from pricey lawsuits. As a business owner, you’re more vulnerable to allegations involving discrimination, wrongful termination, or harassment. Scary. And costly.
How can I find the best coverage?
Brush up on insurance terms so you understand the language when speaking to an agent.Next, shop around for the best deals in your area. Psst…here are a few tips to help you save on your insurance premiums.
Liability insurance is worth considering, even if you feel like you have nothing to lose at the moment. Accidents happen, and liability coverage can be a low cost way to protect your future finances.
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