Liability insurance
The liability insurance covers two kinds of services: the financial needs with entitled liability claims as well as the defense of unjustified liability claims.
- Financial need for entitled liability claims: If a liability of the insured person exists and is covered by the liability insurance, the liability insurance compensates the financial claims of the injured person
- Defense of unjustified liability claims: If no liability of the insured person exists, however, it concerns a covered liability case, the private liability supports with the defense of unjustified claims. One calls this fact also passive legal protection.
A personal liability insurance is one of the most important components of an insurance portfolio since it covers the wealth of private individuals against (entitled or unjustified) claims of third parties. The question on the need of the liability insurance can be answered clearly with "Yes".
There are several qualities as which the people of a liability insurance are insured, nevertheless, these are different across different insurance companies. Please find below a summary of the most usual qualities – further details can be found in the insurance policy or the general insurance terms.
- Private individuals for their own behavior: Here it is a matter about smaller accidents where third parties come to damage
- Family head: It covers the liability by parents for damages caused by their children
- Animal holder: It covers the liability by animal holders for damages caused by animals. For certain animals as for example dogs or horses there are special liability insurances with extended coverage available
- Tenant of flats: For damages in a flat where the renter claims financial asserts
- Employer of domestic servants: e. g. , if a hired budgetary help causes a damage during the execution of her activities