What is Liability Insurance?
Liability insurance covers compensation claims and legal defence costs brought against a business for bodily injury and property damage caused to third parties, employees or clients during its operations, and for professional errors.
A workplace accident, an injured visitor or a professional mistake can lead to lawsuits lasting years and large awards. In workplace accidents, amounts recovered from the employer by the Social Security Institution (SGK) are also a significant financial risk.
Employer's liability, public liability and professional indemnity insurance cover these risks separately or under a combined policy. It is important that limits match the risk level of the activity and contractual requirements.
What is covered?
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Employer's liability
Claims and recourse actions by employees and SGK against the employer following workplace accidents.
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Public liability
Bodily injury and property damage caused to third parties at the premises or during operations.
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Professional indemnity
Losses arising from errors and omissions of professionals such as engineers, architects, accountants, lawyers and consultants.
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Legal defence
Lawyer and court costs in defending claims.
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Non-pecuniary damages
Moral damages awarded in connection with bodily injury (subject to policy terms).
Optional extensions
- Product liability
- Sudden and accidental pollution liability
- Subcontractor employees
- Tenant's and neighbours' liability
- Overseas activities and assignments
Who is it for?
- All businesses with employees (employer's liability)
- Businesses receiving clients and visitors (malls, hotels, factories, offices)
- Construction, energy and industrial companies
- Engineering, consultancy and advisory firms
Information needed for a quote
Sharing the following information lets us obtain fast and accurate quotes from several insurers.
- Business activity and job description
- Number of employees and total payroll
- Annual turnover
- Requested limits and contractual requirements
- Past claims (if any)
Frequently asked questions
Is employer's liability insurance mandatory?
It is generally not a legal requirement, but because of SGK recourse claims and employee lawsuits after workplace accidents it is one of the most critical liability covers for employers. It is also required in many tenders and contracts.
Does public liability insurance cover my employees?
No. Injury to your employees falls under employer's liability insurance. The two covers are usually arranged together in one policy.
Which professions is professional indemnity suitable for?
It suits all professionals who risk causing financial loss to clients through their services, such as engineers, architects, accountants, lawyers, consultants, IT service providers and insurance intermediaries. It is mandatory by law for some professions.
Scope of cover and limits are determined by the general and special conditions of the issuing insurer.