These kinds of claims can come up during normal business operations. Without coverage, you’d have to pay for damages out of pocket.
Professional liability: E&O liability insurance explained above
Employer liability: Employers’ liability insurance is an insurance policy that handles claims from workers who have suffered a job-related injury or illness not covered by workers’ compensation. A type of liability insurance, it can be packaged with workers’ compensation to further protect companies against the costs associated with workplace injuries, illnesses, and deaths.
Business owners are exposed to a range of liabilities, any of which can subject their assets to substantial claims. All business owners need to have an asset protection plan in place that is built around available liability insurance coverage.
HERE ARE THE MAIN TYPES OF LIABILITY INSURANCE:
- Employer’s liability and workers’ compensation is mandatory coverage for employers which protects the business against liabilities arising from injuries or the death of an employee
- Product liability insurance is for businesses that manufacture products for sale on the general market. Product liability insurance protects against lawsuits arising from injury or death caused by their products
- Indemnity insurance provides coverage to protect a business against negligence claims due to financial harm resulting from mistakes or failure to perform
- Director and officer liability coverage covers a company’s board of directors or officers against liability if the company should be sued. Some companies provide additional protection to their executive team even though corporations generally provide some degree of personal protection to their employees
- Umbrella liability policies are personal liability policies designed to protect against catastrophic losses. Coverage generally kicks in when the liability limits of other insurance are reached
- Commercial liability insurance is a standard commercial general liability policy also known as comprehensive general liability insurance. It provides insurance coverage for lawsuits arising from injury to employees and the public, and property damage caused by an employee, as well as injuries suffered by the negligent action of employees. The policy may also cover infringement on intellectual property, slander, libel, contractual liability, tenant liability, and employment practices liability
- Comprehensive general liability policies are tailor-made for any small or large business, partnership or joint venture businesses, a corporation or association, an organization, or even a newly acquired business. Insurance coverage includes bodily injury, property damage, personal and advertising injury, medical payments, and premises and operations liability. Insurers provide coverage for compensatory and general damages for lawsuits but not punitive damages