Civil Liability Insurance: what it is and why it is important to be insured

April 10 , 2024 // Specialty

Published in Granada Hoy

In life, different situations and circumstances can occur that cause damage to personal assets. The solution and repair of individual properties must be covered through insurance that is solvent and effective in the event of a claim made by a person. For this reason, Civil Liability Insurance is created with the objective of protecting and offering guarantees to solve any situation that may arise due to the damage that a person may have perceived.

To know why it is important to have insurance of this type, we show you all the detailed information below.

What is Civil Liability Insurance?
Civil Liability Insurance insures the personal assets of any person who has been harmed by damages caused by various circumstances, which may involve repair and solution based, specifically, on the coverage that has been contracted. In this way, those damages can be covered as it is the legal obligation of a person or company to repair those damages that may have been caused.

What are the areas in which Civil Liability can intervene?
Fundamentally, it focuses on work accidents where personal injuries occur and on those activities carried out by a company or self-employed person in which harm may be caused to clients, such as food poisoning. Likewise, the insurance will also cover other damages caused by the use or consumption of products that are in a defective state and that, consequently, have caused personal injury.

What are the insurance coverages?
The coverage that is contracted may cover a greater or lesser scope of intervention, which is why it is important to know what types of coverage are covered by the insurance:

- Exploitation: damage caused to third parties by the activity that a company that has contracted insurance is responsible for.
- Work accidents: covers personal injuries suffered by an employee within the workspace.
- Subsidiary: protects damages caused to third parties by subcontractors.
- Pollution: protects against damage caused by environmental pollution caused to third parties.
- Real estate: protects the owner or tenant of the property in which the activity that caused the damage occurs.
- Cross: protects the insured against damages suffered by subcontractors' employees.
- Legal: legal protection and bonds.
- Damage to employees' property: covers possible damage that workers' own property may suffer.
- Products: covers damages caused to third parties due to the products manufactured or supplied.
- Lease: insures damages claimed due to fire, water, or explosion.

Why is it necessary to take out Civil Liability Insurance?
In general, it is practically impossible to fully control the possibility of accidents or other personal injuries in business activities or work spaces; Therefore, it is necessary to be prepared and have contracted Civil Liability Insurance. This will guarantee maximum protection for a company and coverage of possible damages that may occur.

Personal assets cannot be left unprotected, since you never know what situations may arise and it is necessary to have extensive coverage that gives peace of mind. A good insurance policy will provide enough solutions to provide the necessary defense and protection to the self-employed and companies. The different types of insurance adjust to the needs of companies and guarantee a timely response.

In short, Civil Liability Insurance is consolidated as the necessary resource that offers a quick and effective response to personal and property damages and losses.