liability insurance

liability insurance definition - business

liability insurance

Insurance coverage for what someone is legally obligated to pay as a result of causing property damage or personal injury to someone else. Liability coverage is included as a component of homeowner's policies and automobile policies, although many individuals choose to purchase additional coverage. Liability insurance is also available to businesses. See also umbrella liability insurance.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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