Other Types of Liability Policies Available

There are many different types of liability policies available. A few of the major categories are listed below with a brief explanation of their application.

Owners, Landlords, and Tenants (OL&T). This type of coverage is written mainly to cover losses that happen at the location of the business.

Manufacturers and Contractors. This coverage expands on the OL&T coverage to include coverage for losses that happen away from the business location as well as at the location of the business.

Products and Completed Operations. Product coverage is to protect against losses arising out of the manufacturing, selling, handling, or distributing of a product.

Completed operations coverage protects against claims arising out of services performed by a business such as a building contractor.

Owners and Contractors Protective Liability. This coverage provides protection for losses arising out of operations performed for you by independent contractors or subcontractors.

Key Person. This coverage protects against financial loss caused by the death or disability of a key person in the business including the owner. Also used to fund buy/sell agreements when a business has more than one owner.

Directors and Officers. This coverage provides protection to directors and officers from claims that arise from negligent conduct committed by them in their capacities as directors and officers.

Errors and Omissions. This coverage, (also known as E&O coverage), is available for numerous types of professionals. The coverage protects the professional persons or organizations from claims arising from failing to render professional services to their clients as expected of a person in their profession.

Professional Liability. This coverage protects against malpractice suits for giving allegedly faulty advice.

Crime Insurance. This coverage protects businesses from theft and malicious damage, such as employee embezzlement.

E-insurance or Internet Business Insurance. This coverage protects Web-based businesses for damages caused by computer hackers and viruses.

Contractual Liability. This coverage insures liability assumed under a written contract or agreement. It may be that one specific type of liability policy will not provide the proper coverage or enough coverage for your business. In that case, you may wish to buy a Comprehensive General Liability policy, which provides many liability coverages under one contract.

Multi-Peril Policy. It would be possible to purchase many separate insurance policies to cover a single business operation. Rather than shopping for each type of insurance you need individually, you may want to buy a multi-peril policy. This is a comprehensive policy which can be tailored to suit your business needs and which will provide both property and liability protection. For many businesses, it is the most efficient and economical way to buy insurance.

Excess Liability Insurance. Excess liability coverage provides protection for catastrophic accidents or occurrences as when a number of people are injured at once.