What Is Liability Insurance

Liability insurance is a part of the general insurance system of risk financing to protect the purchaser (the “insured”) from the risks of liabilities imposed by lawsuits and similar claims. It protects the insured in the event he or she is sued for claims that come within the coverage of the insurance policy. A lot of automobile insurance policies come as just liability insurance. You can usually get liability when you do not have a lien on your car.