In short,

This is any person who unintentionally causes material, immaterial or bodily damage to another person is obliged to repair it financially: this is the liability. If a person has subscribed to a liability insuranceIf you are a victim of an accident, this insurance will compensate the victim of the damage. What do I need to know about this subject?

Liability insurance: mandatory or not?

In principle, liability insurance is not mandatory. However, there are situations where it is necessary. For example, people who own a car must take out liability insurance, as must renters. Even if the law does not require you to take out this insurance, it is a wise protective measure to get out of trouble in case of damage caused to others. Indeed, without insurance and in the event of an accident, it is you who will have to deal with the compensation of the victim. And that can be very expensive.

To exonerate yourself from your responsibility, you will have to prove the existence of a case of force majeure or a fault of the victim.

Insurance in different forms

As you may have gathered, theliability insurance is present in many contracts and can take several forms. For example, third-party car insurance, school insurance or rental risk coverage are all liability insurance contracts.

Third party car insurance covers the damage you cause to a third party when you are driving a vehicle. L'school insurance covers damage caused by your child while at school.

It should be noted that there is a specific contract covering civil liability: the private life liability policy. It covers several damages caused to third parties:

• Damage caused by carelessness or negligence;
• Damage caused by your children;
• The damage caused by your employees (person under your order) ;
• Damage caused by your pet or a pet in your temporary custody;
• Damage caused by your home or by an object you own.

Liability insurance: the limits

All contracts have limits and aliability insurance is no exception to this principle. Thus, civil liability coverage always provides for situations of exclusion in which the insurance will not be called upon if there is damage done to others. These situations are called contractual exclusions of coverage.

Specifically, theliability insurance will not apply if the damage was caused intentionally or if it was caused to you or your relatives (the latter are not considered as third parties). Apart from that, it cannot be used for damage caused in the professional context. To be covered, independent professionals (independent employees, company directors, etc.) must take out specific insurance: professional civil liability insurance. Employees are covered by their company's professional liability insurance.