Registered Insurance Brokers of Ontario (RIBO) Exam 2025 – 400 Free Practice Questions to Pass the Exam

The recommended type of liability coverage for homeowners to protect against injuries occurring on their premises is personal liability coverage. This coverage is specifically designed to offer protection to homeowners in the event that someone is injured while on their property. It responds to claims for bodily injury or property damage that occur due to the homeowner's negligence, such as a guest slipping and falling or getting injured by a pet.

Personal liability coverage typically extends beyond just incidents that occur inside the home; it also covers accidents that happen in the yard or on any property owned by the homeowner. This protection is crucial for safeguarding homeowners against potentially significant financial burdens stemming from legal claims or medical expenses associated with injuries sustained by others.

Other types of liability coverage mentioned have specific applications: general liability coverage is more commonly used by businesses to protect against claims of bodily injury or property damage occurring in the course of business activities; product liability coverage protects manufacturers or sellers against claims related to injury or damage caused by their products; and professional liability coverage is geared towards professionals providing services, protecting them against claims of negligence or failure to perform their professional duties. Thus, personal liability coverage is distinctly suited for homeowners’ risks associated with their property.