a HOMESTEADING question...i have homeowners ins. but i still?

Question

want to protect my home from sue-happy people...i have handymen without licenses that could get hurt..will homesteading protect my home from that? thanks

Answer 1

The best way to protect your assets is to have plenty of liability insurance. A homestead will protect some equity in your home, but you don't want to lose your other assets (bank accounts, brokerage accounts, etc.) so that your creditors will be left with getting at your home. Further, a homestead will only protect as much of your home as your state's law will allow. Florida has a liberal homestead law, which is why CEOs usually flee there and buy large homes. The bottom line for us ordinary folk is to have plenty of liability insurance, umbrella coverage, if need be.

Answer 2

That depends on the homesteading laws in your state.

Your best bet is to not let handymen on the premises without evidence of insurance coverage - a certificate of insurance naming you as the certificate holder.

Answer 3

Your typical homeowners policy (H0-3) automatically has a Section II which covers liability accidents on the insured location. But for liability to be present, they would have to prove that you were negligent and did not conform to what a reasonable and prudent person would do.

Answer 4

I have to agree with coffee4kiki. Get liability insurance. The company you have your homeowners policy with is a good source.