What does personal injury liability coverage protect against?

Personal injury liability coverage specifically addresses claims related to non-physical injuries. This type of coverage is designed to protect individuals or businesses from legal liabilities arising from offenses such as defamation, invasion of privacy, false arrest, or emotional distress. These non-physical injuries can result in significant legal claims, and having this coverage ensures that the insured party is financially protected against lawsuits that claim damages for these types of injuries.

Understanding the scope of personal injury liability coverage is essential because it highlights the distinction between personal injuries and other liability coverages. For instance, physical injuries obtained during activities or work-related injuries of employees typically fall under different coverage types, such as general liability or worker's compensation insurance. Similarly, property damage claims arise from accidents causing damage to another person’s property, which also is not covered under personal injury liability. Thus, personal injury liability focuses on safeguarding against claims that do not involve direct physical harm or property damage, emphasizing the need for comprehensive liability protection.