In today's litigious society, even small mishaps can lead to dreadful results and can end up in large lawsuits. That's why it becomes almost mandatory for many people to opt for personal injury liability insurance. Personal injury liability insurance protects you from liability under the law if you are sued for something you did or didn't do to cause a personal injury to someone else. If you are an owner of a property or if you drive a car or operate a business, then you are exposed to a legal liability.

The basic purpose of buying personal injury liability insurance is to protect one's self from claims arising out of some negligence that cause injury or damage to someone else. The insurance coverage pays money to the person who files a claim against you if you are legally responsible for causing injury or suffering to him. For example, if your dog bites the mailman or some guest is injured in your premises, you are protected against the lawsuit by the umbrella of insurance. The law in most parts of the United States has a mandatory requirement of a specific minimum amount of personal injury liability insurance for all property owners, car drivers, and businessmen. Failure to carry the minimum liability insurance can result in cancellation of the license privileges.

The state of Michigan requires all such people to purchase a minimum liability insurance coverage of $20,000 for one individual and $40,000 for more than one individual for bodily injury or death and $10,000 for property damage. Michigan law does not apply to slander or libel claims, intentional acts, diseases you pass on to others or claims by one household member against the other.