pays on behalf of the insured, all sums which the insured becomes legally obligated to pay as damages because of bodily injury or property damage caused by an occurrence resulting from personal premises and activities.

Hopefully, this will not happen to many of us, but in the course of our lives, there are many things we may be liable for, although quite unintended on our part. For instance, we may, by some silly accident, poke someone's eye out with an umbrella. Such an incident must, of course, result in some tangle with the law. Personal Liability coverage helps us pay for the compensation due after such accidents. Most good quality Personal Lines package policies would cover this sort of event.

This coverage protects you against a claim or lawsuit resulting from bodily injury or property damage to others. The coverage applies to you and all family members who live with you.

Personal Liability within a holiday insurance policy will provide protection against any injury or damage which may occur to others or their property. It is always a good idea to check that your policy provides personal liability cover, otherwise you will be responsible for any accidental damage you may cause. This is particularly important if you are travelling throughout North America where there is a greater culture of following up personal liability claims.

See Liability.

Personal liability arises when the borrower's assets are pledged or subject to claim in addition to a primary security.

Shareholders in a limited Company are only liable to third parties to the limit of their shareholding. Other participants e.g. directors would not normally have any personal liability except with respect to creditors where there has been wrongful or fraudulent trading or when personal guarantees or other such undertakings have been given by directors of the company or others.

This is insurance which affords protection against a claim resulting from an inadvertent or unintended action of the insured, such as causing bodily injury to a third party person when opening the door of a motor car without first checking the surrounding area. Pre-existing Condition Exclusion This exclusion is applicable in the case of Medical Insurance wherein the policy excludes any illness which the insured is aware they suffer from prior to taking out the insurance policy.