Liability Insurance

Post date: Sep 20, 2010 8:20:35 PM

It comes in many forms and amounts and can be found as a sub-coverage of many other insurances such as: car insurance, home insurance, business insurance, etc...

In keeping with the theme of this site (how insurance is related to everything you know in your life) I will address how liability insurance is related to everything you do.

Did you just say or write something about someone? You need liability insurance in case you slandered them.

Have you ever had a car accident? Liability insurance is one of the necessary main components of car insurance.

Do you own a home or rent an apartment? You better hope no one ever gets hurt if you don't carry homeowners or renters insurance in NY. Those policies also contain liability insurance.

Do you own a business? Businesses are a target for liability claims. Some frivolous, some serious, but all are a reality. You can not afford to do something wrong in the course of your business without professional liability or malpractice insurance, You better hope no one ever gets hurt on the job with out employers liability insurance aka: workers compensation, and you have to hope no one ever gets hurt on your businesses premises without general liability insurance.

Liability insurance is a form of risk financing to protect the purchaser (the "insured") from the risks of liabilities imposed by lawsuits and similar claims. Liability insurance policies cover both legal costs and any legal payouts for which the insured would be responsible if found legally liable. Liability Insurance offers protection against third party claims, which means that payment is maid to someone who suffers loss caused by an insured person.