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Organisations can be dragged to court in today's litigious environment for various reasons (right or wrong). It can be for an injury to a visitor on your premises or damage to some adjoining property due to your negligence or one of your employees damaging some one else's property in the course of doing work to name a few reasons.
 
   

If the concerned authorities hold you responsible for the resultant damages the payout could potentially be in millions. Hence, all organisations need to have this policy in some form or the other. Cost of defending such actions can also be covered under this insurance.

The standard policy form in most cases would need customisation to ensure that a wider range of potential liabilities would be covered. Any company whose operations of whatsoever description could possibly incur liability to third parties would be likely to be interested in this cover.

 

 
 
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