Does Home Insurance Cover Personal Injury?

You’ve slipped on a wet floor at a friend’s place and broken your wrist. Or maybe someone’s tripped on your front steps and is threatening legal action. Either way, you’re wondering: does home insurance actually cover personal injuries?

The answer is complicated. Home insurance includes property liability insurance coverage, but it only covers injuries to visitors on your property — not injuries to you or your family. And the type of injury, who got hurt, and how it happened all matter when it comes to making a claim.

Let’s break down exactly when home insurance covers personal injury in Victoria, when it doesn’t, and what you need to know if you’re facing a claim.

Key Insights

• Property liability insurance (also called legal liability cover) is automatically included in most Australian home and contents insurance policies
• It covers injuries to visitors on your property if you’re found legally liable — up to $10-30 million, depending on your policy
• It does not cover injuries to you, your family, or anyone who lives with you
• Common covered scenarios: guest slips and falls, dog bites, falling tree branches
• Not covered: intentional acts, business-related injuries, motor vehicle accidents, injuries to residents
• If you’re injured at someone else’s property, you’d claim against their home liability insurance or pursue a personal injury claim under Victorian law

What Is Property Liability Insurance?

Property liability insurance (often called legal liability cover in Australia) protects homeowners from financial loss if someone is injured on their property and they’re found legally liable. It’s automatically included as part of your home insurance or contents insurance policy, not sold separately.

In Victoria, property owners have what’s legally known as “occupier’s liability” — a duty of care to ensure their property is reasonably safe for visitors. If you breach that duty and someone gets hurt, you could be liable for their medical bills, lost wages, legal fees, and compensation for pain and suffering.

That’s where property liability insurance kicks in. According to QBE Insurance, most Australian policies provide legal liability coverage ranging from $10 million to $30 million — significantly higher than typical overseas policies.

Does Home Insurance Cover Personal Injury?

Yes and no. Your home liability insurance covers personal injuries, but only under specific circumstances.

What home insurance covers:

• Injuries to visitors, guests, or third parties on your property
• Injuries you’re legally liable for due to negligence
• Medical expenses, legal fees, and compensation claims

What home insurance does NOT cover:

• Injuries to yourself or family members living in your home
• Injuries to household residents or long-term guests
• Intentional harm or gross negligence
• Business or trade-related injuries (covered under WorkCover)
• Motor vehicle accidents (covered under TAC in Victoria)

Think of it this way: your home insurance protects you from being sued by others for injuries on your property. It doesn’t act like health insurance or accident cover for your own injuries.

When Property Liability Insurance Covers Injuries

Let’s look at real scenarios where property liability insurance typically provides coverage in Victoria.

Slip and Fall Accidents

Your neighbour slips on your wet deck and fractures their ankle. If you’re found negligent, your legal liability cover pays for their medical treatment, lost wages, and any compensation they’re awarded. Victoria Legal Aid confirms that property owners are legally responsible for injuries suffered on their property when negligence is proven.

Dog Bites 

Your dog bites a delivery driver who enters your front yard. Most home liability insurance policies in Australia cover dog bite claims; however, some insurers exclude certain breeds or require additional coverage for dogs with a history of aggression.

Falling Objects 

A branch from your tree falls and injures a pedestrian walking past your property. If you knew the tree was unstable and failed to address it, liability in insurance principles means you’re responsible, and your home insurance would cover the claim.

When Home Insurance Doesn’t Cover Personal Injury

Understanding what’s not covered is just as critical as knowing what is.

Injuries to Residents

If your spouse trips on loose carpet in your home and breaks their leg, your home insurance won’t cover it. Home liability insurance only covers third parties. Your family members would need to rely on their private health insurance, Medicare, or potentially their own personal income protection policies if they can’t work due to the injury.

Intentional or Reckless Acts

If you deliberately push someone down your stairs, or your extreme negligence causes harm, your insurer will deny the claim. Liability in insurance principles require the harm to be accidental and the result of ordinary negligence, not intentional wrongdoing or gross recklessness.

Business or Trade Injuries

If a tradie you’ve hired slips and falls while working on your property, that’s covered under their WorkCover insurance, not your property liability insurance. Similarly, if you run a business from home and a client is injured, you need separate public liability insurance — home insurance won’t cover business-related claims.

Motor Vehicle Accidents 

If someone is injured by your vehicle on your property (say, you back out of the driveway and hit a visitor), this falls under your motor vehicle insurance or Victoria’s Transport Accident Commission (TAC) scheme, not your home insurance. Understanding the difference between third party vs comprehensive insurance becomes important here.

Making a Claim Against Someone’s Property Liability Insurance

If you’ve been injured on someone else’s property in Victoria, here’s how to pursue compensation through their property liability insurance.

• Step 1: Seek immediate medical attention. Your health comes first. Get treated, and keep all medical records and receipts—these become crucial evidence for your claim.
• Step 2: Document everything. Take photos of where the accident happened, your injuries, and any hazards that caused the fall or injury. Get witness contact details if possible.
• Step 3: Report the incident. Notify the property owner or occupier about the injury. They’re required to report it to their home insurer, who will assign a claims assessor.
• Step 4: Get legal advice. Before dealing directly with the property owner’s insurance company, speak with a personal injury firm experienced in Victorian premises liability claims.

Under the Limitation of Actions Act 1958, you have three years from the date of injury to bring a personal injury claim in Victoria, but starting the process early protects your rights and ensures evidence isn’t lost.

What You Can Claim

If you’re injured due to someone else’s negligence, their property liability insurance should cover:

• Medical and rehabilitation expenses
• Lost income and future earning capacity
• Pain and suffering
• Out-of-pocket expenses
• Legal costs (if the insurer agrees to cover them)

Most personal injury claims against home insurance policies are settled through negotiations between your lawyer and the insurance company, without ever going to court.

Get Expert Legal Guidance on Property Liability Claims

Navigating property liability insurance claims requires understanding both insurance policy terms and Victorian personal injury law. Home insurance policies have complex exclusions, coverage limits, and reporting requirements. Miss a deadline or say the wrong thing to an insurer, and you could jeopardise your claim entirely.

That’s where Henry Carus + Associates can help. Our personal injury team has extensive experience handling premises liability claims across Victoria. We know how insurers operate, what evidence strengthens your case, and how to negotiate fair settlements.

Whether you’re dealing with a denied claim, wondering if you have a valid case, or facing a lawsuit after someone was injured on your property, we’ll provide clear legal advice tailored to your situation — at no cost for your initial consultation.