Does Homeowners Insurance Cover Legal Fees? 
If you are sued for bodily injury or property damage , your homeowners policy will provide coverage up to the limits of the policy . In this process they will investigate and settle the claim . They are not required to provide a defense after they have paid an amount equal to the policy limit . This provides coverage for a person who is on your insured premises with your permission and is injured because of a condition on the premises or an activity that involves you , This also covers your domestic employees and animals although there may be limitations to the coverage on dogs . There is also limited coverage for other peoples property that is damaged by you . 