What does 'liability cover' in household insurance protect against?

Liability cover in household insurance is designed to protect policyholders from legal claims for injury or damage caused to third parties. This coverage comes into play when someone else suffers harm or their property is damaged as a result of the insured's actions or negligence. For instance, if a guest is injured while visiting a homeowner's property or if the homeowner accidentally damages a neighbor's fence, liability cover would help cover the legal costs and any compensation awarded to the injured party.

Assessing the other options, legal claims for property damage caused by the insured are typically covered under different sections of a household policy, such as contents or property damage cover but not specifically under liability. Personal injury to the policyholder isn't covered under liability; rather, it pertains to the individual and would require different types of coverage, such as personal accident insurance. Loss of personal belongings while traveling is a function of travel insurance or may fall under specific policies but does not relate to liability cover. Thus, option B accurately captures the essence of liability cover in household insurance.