What Does Tort Law Mean?
Tort law is an area of law that involves civil as opposed to criminal wrongs. Tort law covers most incidents where a person has suffered a financial loss, been injured, or had their property damaged as a result of the actions or omissions of another party. Liability insurance is crucial for individuals and businesses alike to provide financial protection in the event that damages must be paid due to committing a tort, or civil wrong.
Insuranceopedia Explains Tort Law
Without liability insurance, damages associated with torts could place people under extreme financial duress. For example, if a person accidentally causes an auto accident without auto insurance, then they could be forced to pay damages in the tens or even hundreds of thousands of dollars on their own. Various types of liability insurance, like those that are often included in auto insurance policies, can protect people from having to shoulder these costs alone.