Everything You Need To Know About Dog Bite Insurance

For your own good, and for the protection of your assets against expensive dog bite claims, think about dog bite insurance.

Dog bite can happen in split second, but its impact can be devastating and last for a life time.

Dog bites more than 4.5 million people annually. This is just an estimate, but remember your dog is no exception.

Just because he hasn't bitten before doesn't mean he won't bite in future. So, get prepared.

Most dog bites can lead to permanent disability, scarring, loss of wages, emotional distress, and nightmares. And whether you were negligent or not, chances are you can still be held liable for harm caused by your dog.

If you're sued, a dog bite insurance can easily kick in and shield you from any expensive dog bite liability claims the victim of your dog comes up with. 

Although dog bite is now a cliche thanks to the increased in dog adoption during the pandemic, I've consulted insurance experts to answer all your burning questions.

What Is Dog Bite Insurance?

Dog bite insurance is a contract between an insurance company (insurer) and a dog owner. The contract or policy gives the insured dog owner protection against claims resulting from dog bite injuries and damage to other people or property.

Dog bite insurance typically covers any legal costs and payouts an insured dog owner is responsible for if he/she is found legally liable.

According to Insurance Information Institute, dog bite liability legal expenses is around $100,000 to $300,000. This means that if the claim exceeds the limit, the dog owner will be responsible for all the damages above that amount.

How Does Dog Bite Insurance Work?

Dog bite insurance comes into effect when someone who was viciously attacked by your dog sues you to cover the medical bills.

Let me assume that you have a dog bite insurance and your dog pulls out of leash and attacks or bites a passerby  who is going for a walk. If the person sues you to cover his medical bills, your insurance company will assess the situation and pay out the claims depending on your limit.

What Kind Of Insurance Cover Dog Bites?

Dog bite insurance usually falls under personal liability coverage such as homeowners, renters, and umbrella insurance policies. 

That's to say that if you buy homeowners and renters policies, some dog bite liability claims like medical bills can be covered. However, the two insurance policies may have different liability limits.

Homeowners and renters insurance policies can only pay up to $300,000, but if the claim exceeds that limit, you'll be responsible for all damages above the amount.

Umbrella insurance is the best insurance that covers dog bite. This is because the policy comes into play when you find yourself liable for a claim larger than what your homeowners or renters insurance can cover. In other words, umbrella insurance can pick up where your homeowners or renters liability insurance leaves off.

Your homeowners or renters insurance may not be able to pay for medical bills, lost wages, pains and suffering, but umbrella insurance can pick up where it stopped and complete the claim.

Are Dog Bites Covered By Homeowners Insurance?

Dog bites are not clearly covered by homeowners insurance in detail, but can help in trimming down the long-term financial impacts of dog bites. For instance, if your dog bites someone and you are found liable in court, your insurer will pay the medical bills of the victim and any legal expenses you may wind up with, up to the limits of your policy.

The dog bite must not take place in your home before you can enjoy this coverage even though its called “homeowners” insurance.

However, before your dogs can be covered by your home insurance, you’ll need to add them to your policy. This is because some dog breeds are restricted or banned from homeowners or renters insurance policies. In the process of adding them to the policy, the insurance company will access the breed and ensure that you won't be denied the coverage if you file a claim.

What Does Dog Bite Insurance Cover? 

Depending on the limit, dog bite insurance can cover bodily injury and property damage to third parties. But since it is a form of personal liability policy, no claim will be paid to you or any member of your family that is bitten or injured by your dog.

Dog bite insurance policy sometimes cover medical expenses, lawsuit defense, and costs of property damage to third parties up to a certain amount.

How Much Does Dog Bite Insurance Cost?

The cost of dog bite insurance isn't fixed. It depends on where you live, the size, bite history, temperament and breed of your dog.

However, recent data from the Insurance Information Institute (III) and State Farm Insurance show that the number of claims was down overall in 2020. According to the data, total cost of claims paid by insurers rose 7.1% to $853.7 million, up from $796.8 million in 2019. The average cost per claim was $50,245, up 12.3% from $44,760 a year ago.

This data may lead to increased in dog bite liability insurance premium in the coming years.

What Breeds Of Dogs Will Insurance Companies Not Cover?

The dog breeds that are often not covered by insurance companies Include: Doberman Pinscher, Pit Bull, Rotweiler, Chow Chow, Wolf dogs and Wolf hybrids, Presa Canario (Canary dog), Akita, German Shepherd, Siberian Husky, Mastiff, Alaskan Malamute, etc.

Pit bulls, as defined by insurance companies, generally encompass Bull Terriers, Staffordshire Bull Terriers, American Bull Terriers and American Staffordshire Terriers, or any combination of these breeds.

Other types of dogs that are frequently banned include: mixed breeds of the dogs listed above, guard dogs, dogs with any prior incident of biting another person or animal, dogs with any prior incident of attacking or setting upon any person or animal with violent force, and any dog that displays a vicious temperament as observed by an insurance company employee.

Which Insurance Company Has No Breed Restrictions?

Although many insurance companies have banned dog breed list, some insurers do not develop such lists.

According to Heather Paul, a spokesperson for State Farm insurance, “State Farm does not ask what breed or type of dog a person owns when writing policies.” But will look at the dog’s history. “Any dog, regardless of breed, can bite, and most bites are the perfect storm of situation and circumstance. People often put themselves and others at risk, and dogs are blamed. That’s why State Farm focuses on dog bite prevention education rather than breed restrictions,” he added.