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Combined/Comprehensive Public & Product Liability Insurance Of Royal Sundaram Alliance Insurance

Basis of Legal liability

According to the law of the countries the person who has caused damage or loss or injury to other person should compensate the other party for the loss. The compensation is based on the proportion of the liability. Within the same legal system, for the established means, burden of liability and standard of proof necessary will vary in subject matter and from country to country.

Liability arises from breach of law from personal duty on a person or civil wrong owing to his fellow citizen. Legal duties and rights are embedded in the Civil Code in some countries and in some of the countries the legal rights and duties are not embedded in the civil code but handed down from the decisions of the precedents over the court for centuries and it is known as the “Common Law”.

Civil Law is made to regulate the conduct of people towards one another, providing a mechanism to compensate the other if a wrong has been done to another person on account of his misconduct or misbehaviour with acceptable standards.

The insurance policy is only concerned with breach of law like Common Law and the Statute law.

Common Law:

1. Based on traditions and customs 2. Through precedent developed by judges 3. Often considered as the Judge-made law


1. Introduced by Parliamentary Acts. 2. Written law 3. Sets down what should and what should not be done.

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