Liability insurance is a type of coverage designed to protect individuals and businesses from financial losses if they are held legally responsible for causing injury or damage to other people or property. Key features of liability insurance include:

1. Bodily Injury: Covers medical expenses, legal fees, and compensation if someone is injured and you are found legally responsible.
2. Property Damage: Provides coverage for repairs or replacement costs if you cause damage to someone else’s property.
3. Legal Defense: Pays for legal representation and court costs if you are sued for causing injury or damage.
4. Personal and Advertising Injury: Covers claims related to libel, slander, copyright infringement, and other non-physical injuries.
5. Product Liability: Protects businesses against claims of injury or damage caused by products they manufacture, sell, or distribute.

Liability insurance is essential for both individuals and businesses to safeguard against unexpected financial burdens resulting from accidents, negligence, or legal claims.