Accidents in the home don’t just happen to the people who live there. Guests can slip on a wet floor, trip on a rug or fall on the steps outside.
If they’re injured, you could be held responsible for their medical bills and, in serious cases, face a lawsuit. That’s why keeping your home safe and making sure your insurance limits are adequate is critical.
Your homeowner’s insurance policy includes liability protection, which pays for injuries to guests up to the policy limit. But if you don’t carry enough coverage, you could find yourself paying out of pocket.
Common household dangers
Falls are one of the leading causes of injuries in homes and hazards lurk in places you may not expect. Look for the following and fix any, no matter how small you think they are:
- Clutter in walkways such as toys, shoes or cords
- Loose or unsecured rugs
- Poor lighting in hallways, staircases and outdoor steps
- Wet or slippery floors in kitchens, bathrooms or entryways
- Wobbly railings or missing handrails on stairs
- Uneven driveways, cracked sidewalks or loose floorboards
- Outdoor hazards like ice, rain-soaked surfaces, garden tools or tree debris on walkways
A quick walk-through of your home inside and out can help you spot and fix risks before someone gets hurt.
What happens if a guest is injured
If someone is injured in your home, your priority should be to get them medical attention. After that, notify your insurance company.
Most homeowner’s policies include a small “goodwill payment” or medical payments coverage, often around $5,000, that pays for medical bills regardless of who was at fault. Using this benefit can ease tensions, cover initial expenses and help prevent a lawsuit.
If the injury is serious and the guest sues, the liability portion of your policy may cover legal defense costs and any settlement or judgment up to your policy limit. Standard limits often start at $100,000.
If your liability coverage runs out, you are personally responsible for the balance. That means your savings, home equity or even future wages could be at risk. For peace of mind, we often recommend at least $300,000 to $500,000 in liability coverage on a homeowner’s policy.
For extra protection, you can purchase an umbrella policy. This provides an additional layer of liability insurance, typically starting at $1 million, that kicks in once your homeowner’s liability limit is exhausted. If you have a homeowner’s policy with $500,000 in liability coverage, you’d have $1.5 million in total with an umbrella policy.
Takeaway for homeowners
Preventing accidents is always better than dealing with the aftermath. Keeping walkways clear, securing rugs, maintaining lighting and repairing hazards promptly all reduce the chance that a guest gets injured in your home.
Proactive steps around your house and the right insurance coverage can protect both your guests’ well-being and your financial security.