Liability insurance pays for compensation when someone has been held legally liable for an adverse event. Liability insurance is generally required by businesses, not individuals, although most travel and motor insurance policies will include some personal liability cover in case you are involved in an accident.
As a business owner or employer, you have a legal responsibility towards your employees, customers and the public. You could be held legally liable and risk being sued if an employee or a member of the public is injured as a result of your negligence or breach of duty.
Liability insurance is designed to pay any compensation and legal costs that occur if an employer is found to be at fault.
