Liability Insurance is for Everyone

You don’t have to be a millionaire to be sued like one. The legal fees to defend yourself in a lawsuit can be financially crippling regardless of whether you’re ultimately found responsible or not. If found liable, you can’t predict what a judge or jury will award, but huge settlements are common especially when bodily injury is involved. In a serious accident, the personal liability limits of an auto, home, or renter policy may not be enough, which is why an umbrella policy is an important consideration.

What’s at risk? Your savings, your home, your future income, etc.

One reason given for purchasing higher liability limits is, “I don’t have a lot of savings or other assets.” What this view fails to consider is your future income and earnings potential. If you think you’re struggling now to make ends meet, imagine what would happen if, in addition to losing your savings and other assets, your wages were garnished. Regardless of your economic status, you have something to lose.

How can you improve your protection?

Increase the personal liability portions of your policies. Often the difference in premium is minimal compared to the additional protection you get. Here are some of the specific areas to consider.

Auto Insurance

  • Optional Bodily Injury to Others – pays for damages to people injured or killed in an accident if you are legally responsible for the accident.
  • Property Damage – pays for damages to someone else whose auto or other property is damaged in an accident if you are legally responsible.
  • Medical Payments – pays for reasonable expenses for necessary medical and funeral services to yourself and your passengers incurred as the result of an auto accident.

Home, Condo, or Renter Insurance

  • Personal Liability – pays if you are found responsible for unintentional injuries to another person or damage to property.
  • Medical Payments to Others – pays for claims and lawsuits as a result of someone getting hurt, and pays for the medical expenses incurred by that person

Umbrella Insurance

  • Provides an extra layer of protection over and above your auto, home or other policies also referred to as excess liability. Covers lawsuits, settlements and jury awards. Available in increments ranging from $1 million to $10 million.

To discuss improving your personal liability coverage or if you have questions, please give us a call. We’re glad to explain and provide a premium comparison.

No matter how responsible and safe you are, the risk exists that one day, you or someone in your household could be sued for causing “injury” to someone due to an accident, negligence, or some other liability situation. The news is filled with examples of what can happen if you’re in the wrong place at the wrong time.

Read Other Blog Posts

Apartment living room

Keep Your Home Safe While on Vacation

Taking a trip and exploring the world is fun, but leaving your home unoccupied has some risks.  Before departing, protect your property from accidents and criminals by considering the following precautions.
Male teen driver

5 Tips for Adding a Teen to Your Auto Policy

If your teen is approaching driving age, it may be time to start thinking about your plan for adding them to your auto insurance policy. Here are five tips to consider when adding a teen to your auto insurance policy.
Night driving

Understanding the Risks of Speeding

According to NHTSA data, speeding kills more than 12,000 people behind the wheel each year, contributing to nearly one-third (29%) of all traffic fatalities. With this in mind, it’s important to understand what causes speeding and how to prevent it.
Mold

Keeping Mold Out of Your Home

Mold not only damages your property, but it can also cause serious health complications after long-term exposure. With this in mind, try these prevention tips to keep mold out of your home.
Burglary

Tips for Preventing Home Burglaries

As a homeowner, you must protect your property from various risks, such as burglaries. To limit your chances of becoming the victim of a home burglary, consider the following steps for daily life.
Ensuring Peace of Mind: The Importance of Wedding Insurance

Ensuring Peace of Mind: The Importance of Wedding Insurance

Protect your big day with wedding insurance coverage. Whether safeguarding your attire, ensuring vendor reliability, or providing peace of mind against unexpected mishaps, we've got you covered so you can focus on making memories that last a lifetime.
Spring Cleaning for your Insurance

Spring Cleaning for your Insurance

As you tackle spring cleaning tasks, consider reviewing your insurance policies for any necessary updates. Ensuring your coverage is current and aligned with your needs offers peace of mind as you welcome the warmer seasons ahead.
Mistakes to Avoid when Applying for Auto Insurance

Mistakes to Avoid when Applying for Auto Insurance

Overlooking errors on your auto insurance application can result in significant consequences. Providing inaccurate information may lead to higher premiums, policy cancellations, or inadequate coverage during accidents.

Visit Our Personal Insurance Page

Personal Insurance

Life is an ever-changing journey, and it deserves a thoughtful, comprehensive plan to protect the things and people that matter most. Our dedicated team at Murphy Insurance is here to assist you in creating that plan. With a wide range of product options at our disposal, we ensure that your plan is tailored precisely to your requirements. Our commitment to providing clear, intelligent guidance to help you achieve true peace of mind. Learn more about our personal insurance portfolio.