What Is Liability Insurance?
This is the type of insurance that helps both people and businesses to protect themselves against the risks of liabilities (as long as the claims are within the coverage of the policy). Oftentimes the payment is made not to the holder of the policy but a third party suffering loss. Besides, damage caused intentionally is not covered.
What Does It Cover?
Liability insurance compensates for legal costs and payouts a holder of the policy is responsible for as long as these costs and payouts are legally liable (in other words, within the particular policy and are not a result of intentional damage or criminal acts). As being said, in most cases, a third party – not the policyholder – receives the payment. Liability insurance is popular with people and businesses that can cause injuries or damage – vehicle owners, medical workers, etc.
How Much Can It Cost?
The exact monthly premium is determined by the type of insurance, the industry, your claim history, as well as many other details, such as the size and type of your business and the extent of coverage. All in all, it may cost you about $45 a month.