Liability Insurance Coverage Meaning. Businesses typically choose general liability insurance rather than public liability insurance since it's more comprehensive. The term liability insurance refers to an insurance product that provides an insured party with protection against claims resulting from injuries and damage to other people or property.
Lawsuits can be expensive, but liability coverage ensures you won’t get stuck paying out of your own pocket when the unexpected happens. On top of this, liability coverage with auto insurance can also protect you and your assets if you are eventually sued due to an accident. Personal liability insurance comes in a couple of different types:
Meaning the insurance company will cover ensuing costs up to.
If you feel you need more protection, higher limits are available. In most cases, before umbrella insurance starts paying, an underlying liability policy must pay out first. For example, if you sell electrical goods that have caused injuries to a customer and you’re found to be at fault, then public liability cover will help go towards the cost of compensation and legal fees. A missouri driver with a clean driving record opts for 25/50/10 state minimum coverage, which has $10,000 in property damage liability.