Liability insurance provides protection against claims resulting from injuries and damage to people and/or property. ... Liability insurance is often required for automotive insurance policies, product manufacturers, and anyone who practices medicine or law.

Why do I need personal liability insurance?

Personal liability occurs in the event an accident, in or out of your home, that results in bodily injury or property damage that you are held legally responsible for. ... That's why personal liability coverage is an important component of your homeowners insurance or renters insurance policy.

Is it necessary to have liability insurance?

Liability coverage is required by law in most states and is subject to limits, which is the maximum amount your insurer will pay. A car accident can be expensive. It's a good idea to make sure you have enough coverage to help protect yourself.