Liability insurance
Liability Insurance safeguards individuals and businesses against legal and financial payouts they are obligated to pay when held liable for third-party loss or damages. It does not cover claims resulting from intentional damages, criminal prosecution, or contractual liabilities.
Key Features of Liability Insurance
Protects against legal and financial risks where the policyholder is deemed liable for third-party harm or property damage.Ensures coverage for unintentional losses, mitigating financial strain.Types of Liability Insurance in India Public Liability Cover
Types of Liability Insurance in India
- Public Liability Cover
Designed for industries and businesses that interact frequently with the general public.Provides protection against financial and legal risks arising out of third-party claims.Ideal for businesses like retail shops, shopping malls, clubs, theatres, and other public-facing enterprises.
- Professional Indemnity Insurance
Covers liabilities that may arise when an employee suffers an injury while performing job-related duties.Commonly referred to as Business Liability Insurance, it safeguards employers against workplace-related claims.
- Product Liability Insurance
Designed for businesses involved in manufacturing or supplying goods, including sectors like tobacco, chemicals, food, medical products, and recreational products. Provides protection against claims arising due to defects in the products that cause harm or injury.
- Third-Party Liability Insurance
Provides coverage for damages or losses caused to a third party by the policyholder.
Structure: The insured is the first party, the insurance provider is the second party, and the claimant is the third party.
Recommended for individuals or small industries seeking protection from third-party claims.
