Which insurance protects against claims of injury or damage to others?

Liability insurance is specifically designed to protect individuals and businesses against claims resulting from injuries and damage to other people or their property. This type of insurance provides financial coverage for legal fees, medical expenses, and any settlements or judgments that may arise if the policyholder is found legally responsible for causing harm.

For example, if a customer slips and falls in a store and decides to sue for medical expenses, liability insurance would cover the costs associated with that claim. This coverage is crucial for safeguarding assets and ensuring that legal obligations are met in situations where one's actions (or inactions) result in harm to others.

While property insurance is focused on protecting one's own physical assets from risks like theft or damage, automobile insurance can include liability coverage but is specifically aimed at vehicles. Burglary insurance is tailored to protect against losses due to theft, and does not address liability for harm caused to others. Thus, liability insurance remains the essential coverage for addressing claims of injury or damage to third parties.