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Business Liability Insurance

Last updated: December 11, 2016

What Does Business Liability Insurance Mean?

Business liability insurance is a type of insurance that protects an enterprise and its owner from liability arising from its business operations. It basically covers the legal costs involved when someone files a formal lawsuit against the company for injury or damage to property.

Business liability insurance is also known as commercial liability insurance.

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Insuranceopedia Explains Business Liability Insurance

Business liability insurance basically protects a company from the expenses of litigation. For business owners, any form of lawsuit may cost them major expenses that could put their company in a difficult financial situation. Therefore, many often purchase commercial liability insurance as financial protection from these expenses and pay for the legal defense and other associated costs, such as settling a claim with the injured person or damaged property owner. The three most common types are public liability, product liability, and professional liability.

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Synonyms

Commercial Liability Insurance

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InsuranceLiability InsuranceCommercial Lines

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