Garage Sales & Liability Insurance

Don't Let Garage Sales Cost You

If you are like many fellow Americans you have had enough of your belongings piling up on you. From old clothes to unused furniture, from old craft projects to old garden tools we accumulate a lot of stuff. So what do we do? Chances are you have considered hosting a garage sale or wish to sell your items on platforms such as Facebook Marketplace or OfferUp etc.

Before you decide to invite people to your home in the hopes of them purchasing your unwanted items, take a moment to consider your risks.  By hosting a garage sale, you are inviting the public onto your premises with the intention of earning their money. Some home insurance policies include restrictive language regarding coverage for claims arising out of such activities. In some cases, the policy may define such an activity as a “business” and restrict coverage.

An example of this is: a garage-sale shopper slips and falls on your walkway and is seriously injured, that person could file a liability claim against you to pay bills for their injuries and loss of income. If your home insurance policy considers the garage sale activity as a “business” and restricts liability coverage for such activities, you might be on the hook for paying those bills out of pocket.

When considering a garage sale or any activity that involves earning money for yourself or a resident relative, review your home insurance policy for potential coverage limitations. Your agent can help, so call before you run your event.