Introduction to Liability Insurance

Question 1

A liability loss occurs when….?

Answer 1

a person is determiend to have been responsible for loss to another person or another person’s property and is requried to reimburse them financially.

Question 2

A person becomes liabile to another person by committing a what?

Answer 2

tort

Question 3

what is a tort?

Answer 3

a civil wrong that violates the rights of another.

Question 4

what is another term for an unintentional tort?

Answer 4

negligence

Question 5

what is negligence?

Answer 5

negligence is the lack of responsible care that is required to protet other from the unreasonable chance of harm.

Question 6

If the insured is to be held liable for certain events or action, the individual must be what?

Answer 6

The individual must have been negligent

Question 7

Who determines negligence?

Answer 7

A court of law

Question 8

What for factors must be involved in order to establish negligence according to the court of law?

Answer 8

1. legal duty owed
2. breach of legal duty owed
3. proximate cuase
4. damages

Question 9

What does legal duty owed mean which is the first factor involved in order to establish negligence according to the court of law?

Answer 9

It means that each person in society has a duty to one another to protect peoples rights and property

• just read over. each person expected to behave like a reasonable or prudent person following those ordinary considerations that God human affairs this is sometimes known as the in REASONABLE person rule, or prudent person rule.

Question 10

What does breach of legal duty owed mean which is the second factor involved in order to establish negligence according to the court of law?

Question 11

What does degree of care standard of care me?

Answer 11

The duty owed by one person to another.

Question 12

What is an invitee? a licensee? and a trespasser?

Answer 12

invitee: a person invited onto the premises involving potential benefit to the property owner
licensee: a person on the premises with the owners consent for the sole benefit of the visitor
Trespasser: one who was on the premises, without permission, either expressed or implied

Question 13

Know this story about licensee,invitee,and trespasser

Answer 13

For instance, property owner I was the greatest degree of care to invite T, a person invited on the premises involving potential benefit of the property owner. A little less responsibilities out to a licensee a person on the premises, without owners consent for the sole benefit of the visitor. The lease degree of care is old or trespasser, one who’s on the premises without permission, either expressed or implied.

Question 14

It must be determined that a persons negligent act toward another person must be tied together. The negligent act is Dan, the _____ of the loss?

Answer 14

proximate cause

Question 15

What is the proximate cause of loss?

Answer 15

Proximate cause of loss is an action that, and a natural and continuous sequence, produce the loss. Making a loss wooden occurred, if this didn’t happen.

Question 16

The final factor useless tablets negligence is that another party suffered watt? And what is that definition?

Answer 16

Damages. If no one was adversely affected by individuals actions, then there is no finding of negligence.

Question 17

What are some defensds against negligence?

Answer 17

Contributory, comparative negligence

Question 18

What is contributory negligence?

Answer 18

When no one Calex. Traditionally, it’s just Dallas liability. No dividual had to show that the other party was negligent and that they did nothing wrong to contribute to the loss of a person contributed to his or her own damages in anyway another party couldn’t be held liable for them.

Question 19

What is comparative negligence?

Answer 19

Laws which allow, finding liability to be made, even when both parties have contributed to the laws with an award, based on the extent of each parties negligence

Question 20

What are two other defenses against negligence?

Answer 20

Assumption of risk and statute of limitation’s

Question 21

What is assumption of risk?

Answer 21

Assumption of risk applies when a person knowingly, exposing some self, her self to danger injury. When a person assumes this risk here she may be prevented from recovering from a negative party.

Question 22

What is statutes of limitation’s?

Answer 22

These laws provide certain types of lawsuits must be filled in a specified time of the occurrence to be valid under the law. Meaning you can’t do it years later, hypothetically

Question 23

What is absolute liability sometimes referred to as?

Answer 23

Strict liability

Question 24

What is absolute or strict liability?

Answer 24

Liability is imposed by law Miles participating certain activities that are considered, especially hazardous. Meaning do these dangerous things at your own risk. Such as skydiving, your own, and dangerous pets.

Question 25

What is vicarious or imputed liability

Answer 25

And the person is hell responsible for the negligent acts of another person.

Question 26

What is an example of vicarious on imputed liability?

Answer 26

dominos Pizza driver, who drives for dominoes hits another person. Or kill someone while driving, the company is liable because the drivers representative of them.

or parent held liable for actions of a child

Question 27

What are third party losses?

Answer 27

The person who suffered the injury or damage

Question 28

What are first second and third parties when it comes to losses?

Answer 28

The insured is the first party, the insurance company, legally representing a defending the shirt is the second party, and the person who’s injured is the third party

Question 29

What are the top of damages (monetary compensation) one might need to pay an injured party?

Answer 29

Compensatory (special or general), punitive, or exemplary

Question 30

What are compensatory damages (special or General)?

Answer 30

Compensatory damages reimburse the injured party only for losses that were actually sustained.

Special damages include all direct and specific expenses involving to take a loss such as medical expenses, loss, wages, funeral expenses or in ANYTHING that you can put a price on)

General damages, compensate for things, such as pain and suffering. Things and it’s hard to put a dollar amount on.

Question 31

What are punitive or exemplary damages?

Answer 31

These damages are intended to punish the defendant and make an example out of him or her to discourage others. I’m doing the same thing.

Question 32

Most liability policy is agreed to pay on behalf of the insured all sums for which ____?

Answer 32

the INSURED becomes LEGALLY liable to pay as DAMAGES because of BODILY INJURY and PROPERTY DAMAGE

Question 33

What is bodily injury?

Answer 33

Injury, sickness, disease, and death arising out of any of the 3

Question 34

What is property damage?

Answer 34

Damage to our destruction of property, including the loss of use of the property. Could be an even Michael vehicle.

Question 35

What does personal injury? or like PIP? personal njury protection?

Answer 35

Slander, libel, false arrest, and invasion of privact

Question 36

Insurance company believes it’s insured was negligent. It is a common practice to do what?

Answer 36

settle the claim out of court

Question 37

In addition to paying for bodily injury and property damage, white lie about 30 policies, promise to defend the insured and any soup so you can bodily injury and property damage. Even if the charges are totally groundless or false

Answer 37

defense costs are paid in addition ro payments for claims.

Question 38

what is the preudgment interest?

Answer 38

Court will give the third-party or the person who was negatively impacted by the negligence compensation. If he or she had interest, they might’ve been able to make since the time of the loss.

Question 39

supplementary payments include what? and what are they?

Answer 39

Payments that are paid in addition to the regular liability limits. So Nef essentially extra payments.

Question 40

What do or what are certain types of supplementary payments?

Answer 40

1. Defense costs,
2. expenses incurred and claimed, mastication payments,
3. returned the type of bond, such as Baylor, appeal bonds,
4. first aid to others at the time of the incident, reasonable, and
5. expenses, incurred by the insured of the companies,
6. request an investigation of defense of claim, such as having like a lawyer, 7. loss of earnings,
7. prejudgment, interest, or
8. post judgment interest, which is interest accruing on the judgment after an award has been made the payment is made by the company

Question 41

What are policy limits?

Answer 41

The maximum amount insurance company will pay I’ll behalf of the insured

Question 42

Insurance policies may stipulate separate limits for bottle, injury, and property damage (Split limits) or there may be one limit that applies to both BI and PD (signle or combined limits)

Answer 42

Insurance policies may stipulate separate limits for bottle, injury, and property damage (Split limits) or there may be one limit that applies to both BI and PD (signle or combined limits)