What Is Liability Insurance?

Liability insurance is a type of insurance that protects an individual or business from financial losses resulting from damages or injuries that they may cause to others. There are two types of liability insurance: personal liability insurance and business liability insurance.

Personal liability insurance is typically included in a home insurance or renters insurance policy, and it covers damages or injuries that an individual may cause to others while on their property or while engaging in certain activities.

Business liability insurance is typically purchased by businesses, and it covers damages or injuries that the business may cause to others while conducting its operations.

Liability insurance typically covers the cost of legal fees, settlements, and judgments if you are found to be at fault in an accident or other incident that causes damages or injuries to others.

Overall, liability insurance is important for protecting your financial well-being and can provide peace of mind knowing that you are protected in case of unexpected events.