Liability Insurance 2

Make it a point to get covered for your mistakes

When you are fighting a lawsuit you have to handle a lot of financial losses and this may leave your bank account dry. So in the general insurance there is a part known as liability insurance that protects you in case of any lawsuit or any claims similar to these.

If your insurance policy covers the claim for which the lawsuit has been filed against you then you will be covered by this insurance. Here generally the party that is insured does not get the money instead the party that is claiming gets the payment.

It is the duty of the insurer to defend hard against such claims but being covered by the liability insurance makes it easier because then you will not have to make the hefty payment to the party that is suing you. The onus will come on the insurance company and you will thus be safe because such insurance will cover you for any accusations such as malpractice, injury or negligence. They will cover for the legal cost that is due on you as well as the legal payouts for which you must be determined liable legally.

Anyone who is liable for a lawsuit must buy this insurance and that will include the business owners, the medical practitioners, the building contractors etc. the liability insurance protects the product manufacturer in case his products turn out to be faulty or the building contractor who has shown negligence at the construction site or anybody who has to deal with the public and can be sued.

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Sample Template Preview

Liability insurance.

In order to protect the contractor and the owner on account of any and all claims, damages, loss, litigation, expenses, counsel fees and compensation arising out of injuries (including death) sustained by, or alleged to have been sustained by, the servants, employees, or agents of the owner or the contractor, its subcontractors, or materialmen and from injuries (including death) sustained by, or alleged to have been sustained by the public, servants, employees, agents of the public, any or all persons on or near the work, or by any other person or property, real or personal, caused in whole or in part by the acts or omissions of the contractor, any subcontractor, materialman, or anyone directly or indirectly employed by them or any of them while engaged in the performance of this agreement, the contractor shall at all times maintain such public liability, property damage, contractor’s contingent liability insurance and worker’s compensation and employers’ liability insurance as will protect the contractor and the owner from any and all of the above risks and from any and all claims under worker’s compensation laws. Contractor shall file certified copies of all policies of insurance with the owner before commencing the work. The amount of the insurance to be provided by the contractor as provided in this agreement, together with the form of the policies and the companies in which the policies are issued, shall be subject to the approval of the owner and shall have insurance limits not less than the following:

                                                                                  Per Person                             Per Accident

Worker’s compensation                                                        $                                           $

Employers’ liability

Occupational disease

Contractor’s public liability

Bodily injury

Property damage

Contractor’s protective liability (sublet)

Bodily injury

Property damage

Automobile liability (including owned, nonowned and hired cars and trucks)

Bodily injury

Property damage