Spotlight on: Dog bite liability

Dog bite liability insurance

American households include almost 90 million dogs, according to the American Pet Products Association.

The Centers for Disease Control and Prevention estimates that about 4.5 million people are bitten by dogs each year in the U.S. Among children, the rate of dog-bite–related injuries is highest for those 5 to 9 years old. Over half of dog-bite injuries occur at home with dogs that are familiar to the victim.

Homeowners and renters insurance policies typically cover dog bite liability legal expenses, up to the liability limits (typically $100,000 to $300,000). If the claim exceeds the limit, the dog owner is responsible for all damages above that amount.

Dog bite liability and homeowners insurance

Some insurance companies will not insure homeowners who own certain breeds of dogs categorized as dangerous, such as pit bulls. Others decide on a case-by-case basis, depending on whether an individual dog, regardless of its breed has been deemed vicious. Some insurers do not ask the breed of a dog owned when writing or renewing homeowners insurance and do not track the breed of dogs involved in dog bite incidents. However, once a dog has bitten someone, it poses an increased risk. In that instance, the insurance company may charge a higher premium, non renew the homeowner’s insurance policy or exclude the dog from coverage.

Some insurers are taking steps to limit their exposure to such losses. Some companies require dog owners to sign liability waivers for dog bites, while others charge more for owners of breeds such as pit bulls and Rottweilers and others are not offering insurance to dog owners at all. Some will cover a pet if the owner takes the dog to classes aimed at modifying its behavior or if the dog is restrained with a muzzle, chain or cage.

 

Homeowners insurance liability claims

  • Liability claims related to dog bites and other dog-related injuries cost homeowners insurers $797 million in in 2019, according to the Insurance Information Institute (Triple-I) and State Farm®.
  • The number of dog bite claims nationwide rose to 17,802 in 2019 from 17,297 in 2018—a 2.9 percent decrease, according to an analysis of homeowners insurance data by the Triple-I.
  • The average cost per claim increased by 14.7 percent in 2019. The average cost paid out for dog bite claims nationwide was $44,760 in 2019 up from $39,017 in 2018. The average cost per claim nationally has risen 134 percent from 2003 to 2019, due to increased medical costs as well as the size of settlements, judgments and jury awards given to plaintiffs, which are trending upwards.
  • By state, California continued to have the largest number of claims in the United States, at 2,396 in 2019, up from 2,166 in 2018. The state with the second highest number of claims was Florida at 1,268. New York had the highest average cost per claim at $55,801. The trend in higher costs per claim is attributable not only to dog bites but also to dogs knocking down children, cyclists, the elderly, etc., which can result in injuries that impact the potential severity of the losses.

State and local legislation

Dog owners are liable for injuries their pets cause if the owner knew the dog had a tendency to bite. In some states, statutes make the owners liable whether or not they knew the dog had a tendency to bite; in others, owners can be held responsible only if they knew or should have known their dogs had a propensity to bite. Some states and municipalities have “breed specific” statutes that identify breeds such as pit bulls as dangerous; in others individual dogs can be designated as vicious. At least two states, Pennsylvania and Michigan, have laws that prohibit insurers from canceling or denying coverage to the owners of particular dog breeds. In Ohio, for example, owners of dogs that have been classified as vicious are required to purchase at least $100,000 of liability insurance.

The American Kennel Club reports that while many municipalities have enacted bans on specific breeds, several states have laws barring municipalities and counties from targeting individual breeds.

  • Dog owners’ liability: There are three kinds of law that impose liability on owners:
    1) A dog-bite statute: where the dog owner is automatically liable for any injury or property damage the dog causes without provocation.
    2) The one-bite rule: where the dog owner is responsible for an injury caused by a dog if the owner knew the dog was likely to cause that type of injury—in this case, the victim must prove the owner knew the dog was dangerous.
    3) Negligence laws: where the dog owner is liable if the injury occurred because the dog owner was unreasonably careless (negligent) in controlling the dog.
  • Criminal penalties: Dog owners could be charged with serious crimes if their dogs attack and severely injure people. In a 2002 California case, a woman and her husband were tried for second-degree murder after their Presa Canario dogs attacked and killed a neighbor. The woman was convicted of second-degree murder and her husband was convicted of involuntary manslaughter. This was only the third time that dog owners were tried for murder in the U.S. The first case was in Kansas in 1997.

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