Life has a way of surprising you. While you may think that yourself and your loved ones are doing your best, certain situations may still end up harming third persons. Here are some loss events we encounter more frequently.
Personal liability insurance grants coverage for the homeowner as well as members of the family living with the homeowner against personal injury and damage to property caused to third persons.
Many loss events are related to water accidents
More than 90 per cent of liability insurance cases involve damage to a neighbour’s home or property. Water accidents where a burst water pipe causes damage not only to your own home but also to the home of your neighbour(s) are one of the most frequent types of accident. “Water accidents will cause damage to the insured apartment and its contents and are also highly likely to cause damage to the downstairs neighbours. Even the apartment next door might not get away unscathed if water finds a way through,” says Pille Plees, Product Development Manager for IIZI’s personal and property insurance.
Dishwasher floods apartment
Merike started the dishwasher and went out for a walk. When she got home a few hours later, she discovered that her home had been flooded! They contacted the home assistance provider of the insurance undertaking, a handyman arrived and the blockage was cleared. Unfortunately, the leaked water that ended up on the floor had damaged the kitchen floor and it now needed replacing. In addition, later that night, the downstairs neighbour below came knocking to report that there is water damage to their kitchen ceiling and furniture. Luckily, Merike had all-risk home insurance with additional liability insurance, which paid for both the plumbing service and her kitchen floor replacement. The insurance also covered the repair of the kitchen ceiling and furniture of the downstairs neighbour. Merike only had to pay a deductible in the amount of 200 euros. Total damages were estimated at €3500.
A trampoline that went flying caused €3000 in damages
While the example of water damage in an apartment building will probably just make owners of private residences shrug, they too are exposed to unfortunate ‘surprises’. Something like a broken tree or loose items in the garden of a private residence can wreak havoc during stronger winds. For example, a poorly fastened trampoline was blown onto the terrace of a neighbouring house during a storm and the metal frame of the trampoline destroyed the slider-operated terrace windows, causing almost 3000 euros worth of damage.
Extended liability insurance also covers damage caused by children and pets as well as damage caused by the person themselves outside the home.
It is good to have liability insurance if you have kids
Parents know to expect the unexpected when it comes to children. Accidents often happen with scooters. It was not so long ago when a child was riding a scooter in front of an apartment building to practice some tricks. Unfortunately, they managed to leave marks on three vehicles, causing more than 2000 euros worth of damage. In the worst case scenario, even ball games can end up damaging a neighbour’s window.
Accidents also happen to adults who like to cycle, with potential injuries to pedestrians, other cyclists or valuable bicycles, not to mention cars that happened to drive by when the accident occurred.
When it comes to pet owners, their responsibility involves situations where a dog bites someone’s pet or manages to escape the garden and attack a passing cyclist, causing the victim to seek medical attention.
All of the above loss events would have been costly had there not been liability insurance, but fortunately, insurance coverage took care of the damage costs and maintained good relations between neighbours.