As with any gathering you host at your home, understanding what your homeowners insurance will or will not cover is important so you (and your wallet) are not held liable for guests’ accidents. Below, we address some common questions about homeowners’ liability if your intoxicated guest leaves your Super Bowl party and causes injuries.
Does homeowners and renters insurance cover liability if a drunk guest leaves and causes a car accident injuring his/her passengers and the other driver? Is the other driver's car damages covered by the host's home or renter's insurance?
The auto policy would be the primary source of recovery for the driver. The homeowner/tenant might be brought into it from a liability standpoint. “Host Liquor Liability,” or similar coverage, might apply for the homeowner/tenant if that is an included coverage, sometimes available for situations where no fee is charged for the alcohol. If a fee is charged for alcohol, then actual Liquor Liability would be needed. If the claim is covered for the injuries of others, then it would follow that the property damage caused to the other vehicle also should be covered, subject to availability of liability protection.
What if the drunk guest left the party, walked home and damaged a neighbor's property, or bumped into a dog walker injuring them?
While there might be some continuity of circumstances directly related to the alcohol, there could also be a break in same; and the damage to the neighbor’s property would need to be accidental, as the drunk guest’s insurer would most likely deny coverage for an intentional act. Most likely, this situation would probably result in a denial of coverage as the guest had reached his home and that probably constitutes the end of the host’s liability.
Does the host's insurance cover the host if the drunk guest got into a fight and hurt another person after he left the host's party?
While it might be a stretch to get to any covered claim in this scenario, the “fight” is almost assuredly excluded from coverage as that could, or would be, considered “assault” and specifically excluded (intentional injuries), unless it’s considered protecting or preventing physical injury of himself.
Using the scenarios above, does a rider or endorsement or floater to renters or home insurance cover the host?
Host Liquor Liability would provide coverage, where referenced above.
Insurance excludes intentional and criminal acts. If drunk driving is considered intentional, and obviously it's criminal, does that mean home or renters insurance would never cover a third party injury caused by a drunk guest that left the party and caused the injury?
When the driver gets behind the wheel and is intoxicated, typically the driver is not intentionally looking to injure someone – if he/she is, then most likely the intentional act or similar language would be cause for denial. For the purpose of this discussion, we’re going to assume that the intoxicated driver is covered while behind the wheel (there are some insurers that won’t insure drinkers, or won’t cover an accident involving alcohol and have that as part of their contract).
However, “never” is a little extreme, just ask an insurance company, attorney, judge or juror; too many differing opinions out there to make the “never” statement. So, the answer is, there definitely could be a case made for an owner or renter to be brought into a situation where it’s involving a third party.
Questions about homeowners insurance coverage? Contact Wallace & Turner at (937) 324-8492 in Springfield, (937) 652-8492 in Urbana, or info@wtins.com.
