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Ask an Agent: What is Homeowners Liability Insurance?

Published: July 2016

In this video, Allstate agency owner Linda Wagner explains homeowners liability coverage. This coverage may help pay for repairs or medical bills if you're found legally responsible for someone's injuries or damaging their property.

Linda tells the story of a couple whose neighbor accused their dog of knocking him down, which resulted in a broken wrist. Liability coverage helped prevent the family for paying out of pocket for the neighbor's medical bills and helped them to resolve the situation.

Video Transcript

I'm Linda Wagner, and I'm an Allstate agency owner in Lake in the Hills, Illinois. I'm here to talk about homeowners liability coverage, which is included in most homeowners insurance policies.

This coverage may help pay for repairs if you damage someone else's property. It may also help pay for medical bills if someone is injured in your home or you are responsible for their injuries at another location.

I once helped a married couple with a liability insurance claim. The husband let the dog outside on a summer day. They had installed an invisible fence to keep their dog in their yard.

But either the dog broke the invisible fence, or it stopped working, because somehow, the dog got into the neighbor's yard.

The next day, the neighbor came by and told the wife, 'Your dog knocked me over in my yard yesterday and I broke my wrist'. He handed them paperwork showing he had needed x-rays and bracing.

The wife called me right away and said, 'What do I do?' We opened a claim for them immediately.

Their liability coverage paid for the neighbor's medical bills and covered a settlement for pain and suffering, resolving the situation to everyone's satisfaction.

Many people don't realize how much they have to lose if an incident occurs and they're held responsible, especially if someone is seriously hurt. There are all kinds of situations where liability insurance may help protect you from dipping into your savings if you're found at-fault for someone else's injuries.


An Allstate agent can answer coverage questions and help you find ways to protect what matters most.

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This content is for informational purposes only and may not be applicable to all situations.

Coverage subject to terms, conditions, and availability. Policy issuance is subject to qualifications. Allstate Insurance Company, Allstate Indemnity Company, Allstate Fire and Casualty Insurance Company, Allstate Property and Casualty Insurance Company, Northbrook, IL. © 2020 Allstate Insurance Company, Northbrook, IL.
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