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What Is Liability Coverage? Homeowners liability insurance can help protect you if you or your family member is found legally responsible for injuring someone else or damaging someone else's property. Typically, homeowners liability insurance can help protect you whether the injury or property damage happens on or away from your property.
I am often asked how liability insurance is different from limited liability protection. Liability insurance is purchased from an insurance company to cover claims against the business. Business entities such as limited liability companies (LLCs) and corporations provide limited liability protection, which prevents creditors from seizing the business ownersâ assets.