Have you ever worried about losing your fortune in case you get sued?
One of the best ways to protect yourself against a potential lawsuit is to buy personal liability insurance.
This is insurance coverage that protects current and future assets from seizure.
If you’ve wondered about insurance coverage if you are sued then this is the best way to ensure you never lose your personal assets in a lawsuit. It’s a must have insurance that can protect you around the world.
Here’s what you need to know about personal liability insurance:
Protects Against Damages
Imagine if you just bought a new house with a beautiful large tree in your backyard.
While you might like the tree, there’s also a fear that it might topple over due to an impending hurricane. So what happens if it topples over and damages your neighbor’s home?
While such a scenario is beyond your control your neighbor can sue you for damaging their property. If you aren’t insured you might have to pay using your personal property.
With personal liability insurance, you can cover these costs with your insurance payout. Your neighbor would request the money from your insurer rather than attacking you with a lawsuit!
Works for Sole Proprietors
If you work as a sole proprietor, you know that your company’s assets and your personal assets are the same.
You might do freelance work as your main profession or as a side venture. Nevertheless, you run the risk of getting sued by your clients and vendors. In such a case, they can take your personal assets even if they aren’t associated with your business.
In such a case, you can depend on personal liability insurance to protect your personal assets. Rather than losing your personal assets you can give them cash from your insurer as an alternative.
Wrongful Death
While one never thinks they’ll be in such a situation anyone can get involved in a wrongful death lawsuit.
If you are deemed responsible for someone’s death you might have to compensate the next of kin. In the most severe cases, you can lose all your personal assets. You can also expect to be in debt for several years.
With personal liability insurance you can avoid such a harrowing scenario. The insurer will pay the next of kin while you can protect your assets.
If you are in such a situation, you should also contact Sweet Lawyers to help you fight your wrongful death case.
Personal Liability Insurance
Now you know the benefits of personal liability insurance and how it can protect you for various scenarios.
One of the main reasons to buy personal liability insurance is that it’ll protect you against damages. Your insurer will pay for the damages while you protect your assets.
It’s also a great protection for sole proprietors as it protects current and future assets. You won’t have to lose assets that aren’t tied to your work.
If you ever are accused of wrongful death you might want personal liability insurance to protect you if you lose the case.
You can learn even more about personal liability insurance on our website.
