Do We Really Need Car Liability Insurance?

The Purpose Behind Car Liability Insurance

Car accidents can happen when you least expect it. All it takes for you to get into an auto accident is to look down for 1 to 2 seconds. That’s it? Yes, a quick distraction is what happens in every accident:

Changing the music on your iPod/iPhone/CD Player
Eating in the car
Grabbing something from the glove compartment
Dialing a number / Charging / Answering the cell phone
Turning on the heater / air conditioner in the car
Writing something down while driving

Those quick actions are all the time it takes to get into an auto accident. If you don’t have car liability insurance you can be in for a rude awakening.

Car Liability Insurance is protection against the responsibility you have when you are at fault in a car accident.

You must have sufficient Car Liability Insurance

You are liable / responsible for another person’s loss or injury. This risk is very real and if you do not have sufficient Car Liability Insurance it can put your entire family in serious financial risk.

Make sure you are fully covered in regards to your car liability insurance

DO NOT, I repeat, DO NOT purchase the minimum state car insurance requirements for car liability coverage. It is not enough to protect you from financial peril if you get into a serious car accident and it’s your fault. You will be responsible for the amounts that exceed your auto insurance coverage limits.

Car Liability Insurance has two types:

Bodily Injury Liability (BI):

If you are at fault in an auto accident then this type of car liability insurance will kick in and cover the other party’s bodily injuries / death.

Bodily Injury Liability Insurance also covers the funds needed for legal defense if the other party involved in the car accident decides to sue you.

Bodily Injury Liability (BI) DOES NOT cover your vehicle. It only covers the OTHER PARTY’S PEOPLE involved in the accident.

Property Damage Liability (PD):

Property Damage Car Liability Insurance covers any damage you (your car) may have caused to any property (other cars/buildings) if you are at fault for an auto accident.

Examples of this include: the other party’s car(s), fire hydrants, poles, fences, homes, etc.

Property Damage Liability Insurance also provides coverage for court and attorney fees in case the other party decides to file a lawsuit against you for damage to their property.

Keep in mind that life bodily injury car liability insurance if you do not have enough coverage for property damage car liability insurance the additional funds not covered could come out of your pocket which could put you and your family at serious financial risk.

Remember that if you are in a multi car accident and you are at fault you can be liable and sued for amounts that may exceed a low car liability insurance coverage amount so make sure you purchase sufficient insurance!

Do not skimp on trying to save money for getting cheap liability car insurance amounts.

To Save Money On Car Insurance On Line:

Decide on a sufficient amount for the above two types of car liability insurance.
Then use a car insurance comparison site to compare the auto insurance quotes.
Also, to save more money you may want to set your auto insurance deductible a little higher and check to see if the difference in savings is sufficient.

If you are not purchasing your car insurance online you are not taking advantage of the huge savings

Car Insurance comparison sites have a vested interest in providing the best insurance car liability insurance policy for you and your family and not focused on any particular auto insurance company. If you are dealing with an auto insurance agent then their only interest is to sell you a car insurance policy of their own company.

Evan Povich is a representative of Insurance Comparisons Site. offers cheap insurance quotes from over 100 of the top insurance companies offering life insurance quote / life insurance quotes, car insurance quotes, health insurance quotes, homeowners insurance quotes and Long term care insurance (LTC Quotes). We strive to provide cheap insurance quotes online. In order to save money on your insurance it is imperative that consumers compare insurance price quotes for whatever insurance they are planning to purchase.

Know What Employers Liability Insurance Covers

Insurance is an important part of the risk management system for businesses, whether they are small or big, to protect themselves from unforeseen losses. Of all the different types of insurance policies, Liability Insurance is considered to be the best one as it provides compensation for the claims associated with liability cases. There are three main types of liability insurance – public liability, product liability and employers liability insurance. Here, we will discuss about employers liability insurance.

As a business owner, you are responsible for the health and safety of your employees, while they are on the job. However safe your business environment is, there is always a chance of your employees becoming ill or injured at work. If your employees believe that you are responsible for workplace accidents, they might claim compensation. Therefore, it is very much necessary for you to know about the E.L.I and what it covers in order to protect your business from employees’ claims.

Sometimes, these claims could result in thousands of pounds in workplace compensation. Your business could go bankrupt if you don’t have Employers’ Liability Ins. to cover such claims.

Who requires employers liability insurance
In some countries like the United Kingdom, It is a legal requirement – not an option. Generally speaking, all businessmen or professionals who have employed staff should have employers’ liability cover.

It is compulsory in case of limited companies or if you deduct National Insurance (NI) contributions and income tax from the salary of your employees. Even if you occasionally hire staff, use temporary or seasonal workers, trainees or sub-contractors, you should opt this insurance.

You need to take E.L.I policy when you decide where, when and how someone works. Also when you supply work materials and equipment for them to work.

You need this insurance even if you work from home. It is better to take a combination of Employers’ and Public Liability Insurance policy cover if your customers or partners visit your business.

Your business will be exempted from the E.L.I if yours is a family business, your business is not a limited company and you are the only employee – or if you employ only close family members, yours is a limited company with just one employee – where that employee also owns 50% or more of the issued share capital in the business.

What does employers liability insurance cover
ELI provides you valuable protection against claims of employees who are injured or made ill at work. It meets the cost of compensation for injuries caused to your employees on or off site. It provides financial back up to meet the legal costs of defending a claim made by an employee. Another important benefit of Employers’ Liability Insurance is that your employees will be more secure knowing that in the event of injury or harm, their injuries or losses will be covered by the business.

When can an employee file it against you
Some situations when your employee has the right to file a liability claim against you include discrepancy in the calculation of wages, miscalculation in the number of working hours, occurrence of any work related accident that results in injury or death, illness due to negligence on working environment.

As a smart business owner, you need to take practical steps to make sure that your employees are safe at work. However, you should carry out risk assessment, and be ready with employers liability insurance to protect your business against the risks that might arise from employing people. While choosing employers’ liability insurance, make sure that the policy covers all of your business activities.