What if someone gets hurt on my property? Or my pet damages something of my neighbor's?

A standard homeowner's policy includes 4 types of coverage.
- Coverage for the structure of your home.
- Coverage for your personal belongings.
- Liability protection in case someone is injured on your property.
- Additional living expenses in the event you are temporarily unable to live in your home due to fire or other insured disaster.

The liability portion of your policy covers you against lawsuits for bodily injury or property damage that you or your family members cause to other people and their belongings. It also pays for damage caused by your pets.

This coverage pays for both the cost of defending you in court and any monies awarded by the court to the other party - up to the limit of your policy. It is also good to know that this coverage follows you anywhere in the world.

Experts recommend that you purchase at least $300,000 worth of protection.