Why Personal Liability Risks Spike in the Summer

The days are longer, the nights are warmer – and personal liability risks are through the roof. Summer is a time for fun and relaxation, but it’s also a time when injuries, property damage, and lawsuits increase. Take steps to protect yourself from personal liability.

Liability Risks Rise with the Temperature

Liability is a risk at anytime of the year. Someone could slip on ice on your property during the winter or your kids could break a neighbor’s window during the fall. However, many liability risks increase during the summer.

There are a few reasons for the increase in liability exposures in the summer:

• Summer parties create alcohol exposures. If you’re serving alcohol to friends, you could be accused of overserving and held legally responsible for any injuries or property damage that occurs as a result under social host liability laws. This is also a risk during winter holiday gatherings. However, there tend to be more parties during the summer as people take advantage of the nice weather.
• Swimming pools are an attractive nuisance. If you have a swimming pool, you probably have neighbors asking to use it. Drowning is a serious risk, especially for children and adults who have been drinking. As the property owner, you may be held liable. Under the attractive nuisance doctrine, you could even face liability if children are injured after using your pool without your permission.
• Outdoor activities lead to additional risks. Summer is a great time to take a boat out on the lake or your ATV out for a ride. However, these outdoor activities may lead to serious injuries and property damage.
• Household workers add to your summertime exposures. If you have domestic workers, you may be exposed to claims involving injuries or employment issues. Once again, these risks exist year-round, but they may increase during the summer because you may hire more workers to handle landscaping, pool maintenance, and childcare while school is out.

Controlling Your Summertime Risks

With proactive risk management, summertime exposures don’t need to spoil your summer fun.

• If you serve alcohol, do so responsibly. To reduce your liability exposures and protect your friends, follow safe alcohol practices: don’t give more alcohol to guests who are already intoxicated, don’t serve anyone who is underage, and help your guests find a safe ride home.
• Keep your pool safe. Supervise swimmers in your pool. To prevent children from using your pool unsupervised, the CDC recommends installing four-sided fencing that fully encloses the pool and separates the pool from the house. The gates should be self-closing and self-latching. You should also consider using locks and alarms on windows and doors. Additionally, everyone who uses the pool should learn basic swimming and water safety skills and know how to recognize a swimmer in distress and provide CPR. Since pool chemicals are also a threat, you should store them safely, away from children and pets. See the CDC for more pool safety tips.
• Stay safe when engaging in outdoor activities. Just as drinking and driving may lead to fatal crashes, drinking and boating is dangerous. In most states, it’s illegal to operate a boat while intoxicated.
• Secure appropriate insurance coverage. If you are sued, insurance will help with your legal costs and protect your assets. However, each type of liability exposure requires a different types of insurance.

What Type of Personal Liability Insurance Do You Need?

Depending on your risks, you may need multiple types of personal liability insurance:

• Homeowners Insurance. Standard homeowners insurance includes some liability coverage. If you are sued by a third party (not a member of your household) over an injury or property damage, you may have coverage under your homeowners insurance policy.
• Auto Insurance. State law typically requires auto liability coverage.
• Boat Insurance. Boat liability insurance will provide coverage for third-party claims. State law or marina rules may require you to have coverage.
• ATV Insurance. State law often requires liability insurance for ATVs and off-road vehicles.
• Umbrella Insurance. To boost your coverage levels, add an umbrella insurance policy on top of your core liability policies, such as homeowners and auto. This is especially important for wealthy individuals with significant assets to protect. The limit of your umbrella policy should match the value of your assets.
• Domestic Employee Insurance. If you have domestic staff, domestic employee insurance will provide valuable coverage.

Do you need help controlling your personal liability risks this summer? Heffernan Insurance Brokers can help. Learn more.