Now with social media we are expressing our thoughts and opinions more freely than ever before. However, unlike traditional one-on-one conversations, social media conversations can be visible to all our “friends” and “followers” and our words spread much more quickly. In addition, what we say online is much more permanent and documented. Thus, something we may regret saying or posting online can quickly spiral out of something we can’t control.

So what does this have to do with insurance? Actually it is a lot more than most people think. The standard PA homeowner or renter insurance policy does protect you when you are liable for causing “Bodily Injury” or “Property Damage” to someone else. However, the standard homeowner or renter insurance policy in PA does not protect you for harm arising from acts such as libel or slander.

This means if you unintentionally say or post something on social media and a person or business files a lawsuit for defamation, you have no coverage to pay a claim, court costs, time off work or lawyer fees. To fix this coverage gap you need to add HO 24 82 “Personal Injury” coverage to your homeowner or renter policy.

“Personal Injury” broadens your personal liability coverage on a homeowner or renter insurance policy to include injury arising out of the following

1. False arrest, detention, or imprisonment

2. Malicious prosecution

3. Wrongful eviction, entry into or invasion of the right of private occupancy room, dwelling or premises that a person occupies, committed by or on behalf of its owner, landlord or lessor

4. Oral or written publication of material that slanders or libels a person or organization or disparages a person’s or organization’s goods, products or services

5. Oral or written publication of material that violates a person’s right of privacy

“Personal Injury” coverage also provides you defense even if a defamation lawsuit is groundless. In addition, the coverage extends to your children if they are residents of the household.

There are several exclusions to the “Personal Injury” coverage, including acts that are intentional, acts arising out of or in connection with a business and acts performed out of civic or public activities.

“Personal Injury” is a coverage that everyone needs and in many circumstances there is little to no cost for adding to a homeowner or renter insurance policy. Ask your agent, make sure you have it and always think before you post!

Chad’s question on what is covered and more importantly not covered is one of the most important questions to ask when purchasing home insurance. Some people believe everything is covered for all reasons but home insurance policies have exclusions and coverage limitations. One example of those limitations are the 11 Special Limits for insuring your belongings (Coverage C). Note that the list below is based on a standard HO-3 home insurance policy and the Special Limits may be different for your specific insurance company. Make sure to check your policy or talk to your agent for the details of your policy.

1. $200 on money, bank notes, coins, precious metals, stored value cards and smart cards

2. $1500 on securities, accounts, deeds, evidences of debt, letters of credit, notes, manuscripts, personal records, passports, tickets and stamps (limit includes cost to research , replace or restore the information from the lost or damaged material)

3. $1500 on watercraft of all types, including trailers, furnishings, equipment and outboard engines or motors

4. $1500 on trailers or semitrailers not used with watercraft of all types

5. $1500 for loss by theft of jewelry, watches, furs, precious and semiprecious stones

6. $2500 for loss by theft of silverware, silver-plated ware, goldware, gold-plated ware, platinum ware, platinum-plated water and pewterware

7. $2500 for loss by theft of firearms and related equipment

8. $2500 on property, on “residence premises”, used primarily for “business” purposes

9. $500 on property, away from the “residence premises”, used primarily for “business” purposes.

10. $1500 on electronic apparatus and accessories, while in or upon a “motor vehicle”. Accessories include antennas, tapes, wires, records, discs or other media

11. $1500 on electronic apparatus and accessories used primarily for “business” while away from the “residence premises” and not in or upon a “motor vehicle”. Accessories include antennas, tapes, wires, records, discs or other media that can be used with any appartus described above.

Now you can see that these “Special Limits” might not be so special if you have an expensive engagement ring or a large amount of business property at home. Fortunately most of the these limitations can be resolved by either using non-insurance risk reduction methods outlined in our prior blog post or by purchasing the right insurance for an extra premium. The key is to be aware that these Special Limits exist so as your belongings change or increase, your insurance provides the coverage you expect. Also look for our future blog post dealing with the business property limitation listed above and other exposures that home-based businesses face.

Leave a comment below and let me know if you were surprised by any of the 11 “Special Limits”.