Personal liability insurance is one of the most underrated, yet incredibly useful types of insurance. Its primary purpose is to provide financial protection to the insured in situations where they inadvertently cause damage to a third party – both their property and their health. In practice, this could be, for example, a child scratching a neighbor's car, a dog biting a passerby, or hitting a pedestrian while riding a bicycle or scooter.
Third-party liability insurance (OC) in private life protects against the consequences of everyday, often unforeseen, situations that can arise due to our inattention, oversight, or minor negligence. Coverage extends not only to the actions of the insured person themselves, but also to their loved ones with whom they live – children, spouses, and in some cases, even their employees, such as caregivers or housekeepers. This insurance covers, among other things, damage caused by pets, children, and also during recreational activities – for example, a collision with another skier, damage to property while flying a drone, or accidental destruction of hotel room furnishings.
It's worth emphasizing, however, that the scope of insurance coverage has significant limitations. Private liability insurance does not cover damage caused to relatives of the insured person or those living under the same roof as them . Situations where the damage was caused intentionally or under the influence of alcohol or drugs are also excluded. Insurers often also exclude damage caused by gross negligence – for example, if you leave a tap running and flood your neighbor's apartment during a weekend getaway.
Third-party liability insurance (OC) coverage typically covers a specific sum insured , which is the insurer's upper limit of liability. Depending on the option chosen, this could be PLN 100,000, PLN 500,000, or even several million. It's worth choosing a policy that reflects your lifestyle and potential risks.
Personal liability insurance is most often purchased as an extension to a basic home insurance policy , which alone covers only the walls and permanent fixtures of the property, such as floors, tiles, kitchen units, and fixtures. Only by purchasing additional components—such as home contents insurance, theft, flood, or personal liability insurance—do we gain real, comprehensive protection for many everyday situations. Insurers offer this add-on in various options: as an extension covering only the property and its permanent fixtures, as a package that also includes furnishings, or as coverage for furnishings only.
It is also worth noting that many modern policies also provide protection abroad , which is important for people who travel frequently – both privately and for business.
To sum up, third party liability insurance in private life is a relatively inexpensive but very useful form of business protection that can protect against serious financial consequences of unintentional events.
This article is for informational purposes only and does not constitute legal advice.
Legal status as of May 6, 2025
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