Liability Insurance - Insurance for LiabilitySouth Africa

Liability insurance is coverage for individuals who become liable to third parties for damage or personal injury. Third party car insurance, for example, is a type of liability insurance policy as it covers the driver’s liability (or responsibility) to pay for damages he or she may have caused. It can also be used to cover personal injury.

Some home insurance companies include liability insurance as a benefit of the policyholder and cover guests for personal injury or damages they may incur while on the policyholder’s premises. It is often taken out for vehicles, businesses and homes to cover costly claims (both for damages and medical fees) of third parties.