Which of the following is NOT a liability exclusion in insurance policies?

In insurance policies, liability exclusions are designed to outline circumstances under which the insurer will not provide coverage. The correct choice indicates a scenario that is typically covered under a standard liability policy rather than exclusionary.

Accidental damage to a neighbor's property reflects a common liability situation where a policyholder unintentionally causes damage to someone else's property. Such incidents are generally covered because they fall under the liability protection that these insurance policies are meant to provide, which allows the insured to be financially protected against claims for damages they cause to others.

In contrast, damage to property owned by the insured, bodily injury to an insured, and workers' compensation covered losses are all examples of situations that typically fall outside of liability coverage. Damage to property owned by the insured cannot be claimed under liability because it involves the property owner facing a loss rather than a third-party claim. Similarly, coverage for bodily injury to an insured is excluded as insurance is meant to cover third-party claims rather than injuries sustained by the policyholders themselves. Workers' compensation acts as a separate coverage which excludes liability insurance; it specifically covers employee injuries and illnesses rather than liability issues arising from third-party claims.

The recognition of accidental damage to a neighbor's property as a covered situation highlights the intent of liability insurance programs,