What is Liability Insurance?

 Posted on September 18, 2024 in Uncategorized

By Attorney Samantha S. Bailey

Email: sbailey@mallerysc.com

Phone: 414-727-6294

Liability Insurance is your protection against monetary amounts you could owe as a result of a judgment against you in civil litigation. Another word for this is "indemnity." Indemnity in insurance law represents a contractual requirement for your insurance company to financially compensate the losses incurred by you for claims covered in your policy. Liability insurance may be Commercial General Liability insurance which provides general liability coverage to businesses for incidents such as slip and falls, property damage, etc. in the commercial setting. Liability insurance may also be found in professional, home, and automobile liability insurance policies for claims such as car accidents, dog bites, malpractice claims, or other injuries that occur on your property. In whatever form you may have your liability insurance, it is important to understand your policy and the restrictions on your potential coverage to ensure your insurance company covers your loss and defends you against damages sought against you. The Wisconsin litigation attorneys here in Milwaukee at Mallery s.c. handle all types of liability insurance coverage questions and disputes.

The Trigger of Coverage.

For you to receive liability coverage from your insurance policy the "act" or occurrence resulting in the claim must have occurred during the policy period. This timing is what is considered as the "trigger" of coverage. The trigger of coverage does not guarantee allocation of coverage, rather it is the first step to determining if the occurrence is included or precluded by your specific policy. Our attorneys here at Mallery s.c. are experienced at dealing with complicated insurance coverage disputes and can assist you in analyzing your insurance policy and the determination of what date would be considered as triggering your claim.

Exclusions and Conditions.

Another requirement for you to receive liability coverage from your insurance policy is that your claim is not excluded or precluded under the language of the policy. Insurance companies do not cover everything, and the policy will list specific circumstances and risks that are covered and those that are not. To protect your claim, it is in your best interest to have one of our experienced attorneys here at Mallery sc assess your claim and policy and advocate for your coverage. Policy provisions can be interpreted differently based on the contract language. This is a specific area your attorney at Mallery can assist with including preparing you for an examination under oath with your insurance company.

Notice Condition.

Even if your claim is covered by your liability insurance policy provisions and within the trigger time period, there are still things that can happen to preclude your claim. For example, many policy provisions include a requirement that notice of the claim be given to the insurance company within a reasonable period of time. Both the trigger of the occurrence and the reporting of the claim are important in assessing coverage because some policies are what are called "occurrence policies" while others can be "claims-made" policies. An occurrence policy bases the trigger of a claim off the date of harm and if it was during the policy period. A claims-made policy bases the trigger of a claim off the date the claim was made by the insured and if it was made during the policy coverage period.

What if my insurance company wrongly denies my claim?

If you receive a denial of your claim from your insurance company, an experienced attorney at Mallery sc can assist you in potential insurance coverage litigation. There are legal consequences to an insurance company’s breach of their obligation to compensate and duty to defend the insured in claims covered by the insurance policy. If you are an individual or commercial policyholder that needs representation to pursue insurance coverage or policy benefits, contact us at Mallery s.c., at 414-271-2424.