Part of the benefit of being a homeowner is being able to entertain friends, family and other guests. But what happens when something goes wrong and a guest causes damage? While in a perfect world, the guest would apologize and offer to cover the damage, here at Rise we know the reality of the situation can be much more complicated. Here’s what you need to know about property damage caused by guests.

Who Pays for the Damage?

When a guest damages your property, you may wonder, “Does my homeowners insurance policy cover these damages?” In general, the answer is “yes”. However, the real question you should be asking yourself is, “Do I want to use my homeowners’ policy to cover damage caused by my guests?” The answer to this question can be much more complicated.

Your guests are responsible for the costs involved with fixing any damage they cause. By using your homeowners’ policy to cover the damage rather than asking them to cover the costs (either out-of-pocket or through their own personal liability coverage), you may end up costing yourself in the long run in the form of increased rates and premiums.

Using Your Homeowners Insurance

If you do decide to use your homeowners insurance to cover the damages caused by a guest, keep in mind that coverage features can vary from policy to policy. As such, you should review your policy for any situations excluded from coverage. Things to watch out for include:

• Your policy may only cover certain elements of your home—such as the physical structure (e.g., the walls and floors) or your personal items. Check your policy to ensure all elements of your home are adequately covered.

• Coverage may apply only to accidental damage. That being said, if the damage was intentional or malicious in nature, you may not be protected.

Never wonder if you have the appropriate coverage for a certain situation—consult your insurance agent to make sure that your homeowners policy provides you and your family with the best possible protection against guest-related property damage. 

Understanding Liability

When a guest gets hurt on your property as a result of a danger or hazard they were not warned about, you are liable for their injuries. However, if a guest damages your property they, not you, are liable for the cost to fix it. Dealing with guests who are reluctant to pay for damages can be a sticky situation, but they do have a legal responsibility to reimburse you for the costs you incur. If they refuse to pay, you may have grounds for legal action. For more coverage guidance and homeowners insurance solutions, contact us today.

Contact RISE Insurance at 423-541-1111 or chad@riseins.com for a free policy review to make sure you are properly covered.  You can request a quote at https://www.riseins.com/personal-insurance-quote-request or visit our website www.riseins.com to learn more!