Personal liability cover is a type of insurance that covers third-party claims. Personal liability is included in standard travel insurance policies and pays up to a maximum specified amount. It is important to check whether this type of insurance is covered in your standard travel insurance before you go on holiday or travel so that you can make sure that you are covered. This insurance covers costs for damages, loss or injury to someone to their property which is caused by you while you are travelling.

What does personal liability insurance cover?

If you unintentionally injure someone or damage their property while you are abroad, personal liability cover will pay for it. An example of a case where you would be covered for personal liability is in the event of a car accident which occurred while driving on your holiday or trip. Personal liability would cover damages to the other vehicle if the accident were caused by a fault of your own. Some travel insurance plans cover legal expenses for settling the claim against you, this could end up saving you a lot of money in the long run.

What does personal liability insurance not cover?

Personal liability cover does not pay out or cover damages in situations where you intentionally damaged something or caused injury to someone else. Other specific exclusions from the personal liability benefit include damages cause by committing an illegal act, damage caused by neglect, non-monetary claims and injury or damage related to your profession or personal business.

How to claim from your personal liability benefit

If a third party has made a claim against you, the first think you need to do is inform your insurance company. You should not admit liability for the claim or attempt to settle before notifying your insurance. Your travel insurance company should then take over and conduct formal proceedings on your behalf. The insured person needs to consent to the claim being settled. If the insured contests the settlement or continues to pursue further action, the insurance company will not pay over the maximum benefit amount and the excess liability will fall on the insured individual.

If you are planning on travelling, getting a plan which includes personal liability could save you a lot of stress and money in the long run. You can quickly compare travel insurance packages on Compare Insurance and make sure you are covered for any unexpected events or expenses while you are away from home!