Liability insurance is a relatively young insurance industry, which is just over 100 years old. The essence is that the Insurer indemnifies the loss and/or damage caused by the Insured to the third parties. Liability insurance is a specific sphere and requires a very careful approach, as it can be very diverse: general third party liability, professional, product liability, environmental, etc.
What should a person, who is far from an insurance law, draw his attention to when buying the liability policy?
- The existence of a cause-and-effect relationship. The identification of the cause and effect relationship is the most difficult problem in civil liability. Causal connection is expressed in the fact that:
- the cause precedes the effect in time;
- the first generates the second. That means that there must be a direct connection between your actions and property damage and/or bodily injury caused to a third party.
- The Scope of coverage (risks insured and exceptions).
- Policy trigger and the insurance period.
- Amounts to be reimbursed.
- Claims payment procedure to the injured person through the fault of the Insured, direct and/or indirect losses. A direct loss is obvious – it is the loss and/or damage caused to a third party’s property, bodily injury to a third party. If an insurance event occurred and there is a direct loss, the indemnity for damage is calculated on the basis of the size of this loss. It is worth adding that the loss reduction costs also belong to this category. Indirect loss is not obvious. As an example of an indirect loss could be the profit loss or the impossibility of using property due to the occurrence of an insured event.
These are the general main points which are worth paying attention to. But as mentioned above, the variety of types of liability insurance includes different nuances. The presence of a large and highly qualified staff of lawyers, 20 years of experience in insurance of such risks by our specialists allow us to develop and implement the insurance product that best meets your requirements etc.
Our company is a large wholesale buyer who annually purchases premiums for tens of millions of UAH and place the risks for billions of UAH, therefore the services of Consoris are paid in the form of a discount from the insurance companies. You pay only the insurance premiums to the Insurers, and our services are paid by them. For more details about this, see the section “Insurance consulting“.