Contractual Liability Insurance
Coverage that protects a business against liability it assumes under a written contract
Detailed Explanation
This type of coverage is important when a business agrees to take on the liability of another party through a contract. It is often included within a general liability policy but can sometimes require a specific endorsement.
Practical Example
A construction company signs a contract with a client containing an indemnification clause, obligating the company to assume responsibility for specific liabilities. Contractual liability insurance provides coverage for these potential obligations.
Frequently Asked Questions
Related Terms
Need Insurance Coverage?
Request quotes from top insurance providers and find the best coverage for your needs.
Get Free Quotes