Tort Law
What Does Tort Law Mean?
Tort law is a branch of law that deals with civil, rather than criminal, wrongs. It covers incidents where a person suffers financial loss, injury, or property damage due to the actions or omissions of another party. Liability insurance is essential for both individuals and businesses, offering financial protection in case they are required to pay damages as a result of committing a tort, or civil wrong.
Insuranceopedia Explains Tort Law
Without liability insurance, the damages from torts could lead to significant financial hardship. For instance, if a person causes an auto accident and lacks auto insurance, they could be forced to pay damages amounting to tens or even hundreds of thousands of dollars out of pocket. Various types of liability insurance, such as those often included in auto insurance policies, can protect individuals from bearing these costs on their own.
