Liability insurance pays for medical treatments and repairs if you should accidentally injure someone or damage their property. It also pays for any legal costs that might arise out of the incident. It’s an essential component of most insurance policies. If you are not familiar with liability coverage, here are some common situations in which it might prove invaluable.

When Is Liability Insurance Essential?

1. Home

As part of your homeowners insurance policy, liability coverage covers situations where things go wrong around the house. For instance, if a tree in your yard should blow over and damage your neighbor's garage, your liability coverage pays for repairs. It also extends to all members of your household, so if your child should knock a baseball through a neighbor's window or your dog should bite a passerby during a walk, you are protected.

2. Business

A myriad of accidents can occur during the running of your business. A customer could slip on your showroom floor, or an employee could back a company service truck through a customer's porch or run a red light and collide with another vehicle. Whatever the cause, if you or a staff member should injure someone or damage property, your liability insurance policy will pay to make the situation right.

3. Car

Liability insurance also protects you while driving. Most states require minimum amounts of bodily injury and property damage liability coverage—in Minnesota, it's $60,000 of bodily injury liability coverage and $10,000 of property damage liability coverage per accident. It covers you if you should be involved in a collision that's deemed your fault and pays for the other motorist's auto repairs and medical treatments.

To discuss your liability insurance options with an experienced agent, contact Daniel Oliver Insurance Agency in Edina, MN. They've served businesses and individuals throughout Hennepin County for more than 30 years, specializing in auto, home, life, and business insurance. Visit their website or call (952) 925-4454 today to request a quote.