Third-party insurance, also known as "liability insurance," is a type of insurance coverage that protects you from claims made by someone other than yourself or your own insurance company. This type of insurance can cover a variety of situations, ranging from physical harm to another person or property damage that you have caused.
Here are some of the main things that third-party insurance covers:
• Personal Injury: Third-party insurance can cover medical costs, lost wages, and other damages that an individual may suffer due to your accidental actions.
• Property Damage: If you damage someone else's property (or belongings) due to an accidental act, third-party insurance can provide coverage for the repair or replacement of the property.
• Business Liability: If you own a business and need to protect yourself from any potential legal action taken by another party, third-party insurance can provide coverage for the costs associated with such claims.
• Professional Liability: This type of insurance covers any errors or omissions made by you or your company, or by any third-party you may employ.
• Product Liability: This type of coverage will protect you if you are responsible for injury or loss to another person that results from the use of a defective product.
Third-party insurance is a type of coverage that can provide significant protection when it comes to protecting yourself from costly legal action. It can provide coverage for an array of situations, ranging from bodily injury to product liability. To understand if third-party insurance is right for your situation, consult with an insurance professional to go over your options.