What does liability insurance NOT typically cover?

Liability insurance is designed to protect individuals and businesses from claims resulting from injuries and damage to other people or their property. It typically covers the costs associated with claims against the insured party, including legal defense costs and settlements or judgments awarded to third parties.

In the context of this question, intentional damage caused by the policyholder falls outside the scope of what liability insurance is intended to cover. Liability insurance does not protect individuals against claims resulting from their own intentional acts. For example, if a policyholder intentionally damages someone else's property or causes harm to a person, that individual would not receive coverage for such acts under their liability insurance policy. This exclusion exists because liability insurance is structured to address unforeseen accidents or negligent behavior—not deliberate actions taken by the policyholder.

On the other hand, injury to third parties, property damage to third-party property, and legal defense costs in liability claims are all typical scenarios covered by liability insurance. These elements illustrate the fundamental protective purpose of liability coverage in mitigating financial loss stemming from unintentional harm.