Commercial Liability Risk Management And Insurance

Front 1

Liability Loss

Back 1

Any Loss that a person or organization sustains as a result of a claim or suit against them by a person seeking damages or some other remedy.

Front 2

Legal Liability

Back 2

The legally enforceable obligation of a person or organization to pay a sum of money (damages) to another person or organization.

Front 3

Civil Law

Back 3

A classification of law that applies to legal matters not governed by criminal law and that protects rights for breached duties owed to others.

Front 4

Criminal Law

Back 4

The branch of the law that imposes penalties for wrongs against society.

Front 5

Tort

Back 5

A wrongful act or an omission, other than a crime or a breach of contract, that invades a legally protected right

Front 6

Negligence

Back 6

The failure to exercise the degree or care that a reasonable person in a similar situation would excessive to avoid harming others

Front 7

Intentional Tort

Back 7

A tort committed by a person who foresees (or should be able to foresee) that his or her act will harm another person.

Front 8

Strict Liability

Back 8

Liability imposed by a court or by a statue in the absence of fault when harm results from activities or conditions that are extremely dangerous, unnatural, ultra-hazardous, extraordinary, abnormal, or inappropriate.

Front 9

Contract

Back 9

A legally enforceable agreement between to or more parties in which each party makes some promise to the other.

Front 10

Breach of Contract

Back 10

The failure, without legal excuse, to fulfill a contractual promise

Front 11

Hold-Harmless agreement

Back 11

A contractual provision that obligates one of the parties to assume the legal liability of another party.

Front 12

Contractual Liability

Back 12

Liability assumes through a Hold-harmless agreement.

Front 13

Statue

Back 13

A written law passed by a legislative body, at either the federal or state level.

Front 14

Risk Control

Back 14

A conscious or decisive not to act that reduces the frequency or severity of losses or makes losses more predictable.

Front 15

Risk Management

Back 15

The process or making and implementing decisions that will minimize the adverse effects of accidental losses of an organization.

Front 16

Root Cause

Back 16

The real cause of an accident or problem and not just a symptom.

Front 17

Loss prevention

Back 17

A risk control technique that reduces the frequency of a particular loss.

Front 18

Loss reduction

Back 18

A risk control technique that reduces the severity of a particular loss.

Front 19

Avoidance

Back 19

A risk control techniques that involves ceasing or never undertaking an activity so that the possibility of a future loss occurring from that activity is eliminated.

Front 20

Common-law system

Back 20

A legal system in which the body of law is derive more from court decisions as opposed to statues or constitutions.

Front 21

Tort Law

Back 21

The branch of civil law that deals with civil wrongs other than breaches of contract.

Front 22

Statutory law

Back 22

The formal laws, or statutes, enacted by federal, state, or local legislative bodies.

Front 23

Bodily Injury

Back 23

Physical Injury to a person, including sickness, disease, and death.

Front 24

Property Damage

Back 24

Physical Injury to, destruction of, or loss of use of tangible property.

Front 25

Occurrence

Back 25

An accident, including continuous or repeated exposure to substantially the same general harmful condition.

Front 26

Contractual Liability coverage

Back 26

Coverage for liability that the insured has assumed under an insured contract.

Front 27

Amendment of Insured Contract Definition endorsement

Back 27

The endorsement that modifies the CGL Coverage form so that sub-part 1. of the insured contract definition will not include bodily injury or property damage caused by an indemnity of the named insured.

Front 28

Host Liquor Liability

Back 28

Coverage for a person or organization who serves other alcoholic beverages, but is no in the alcoholic beverage business; it covers the insured host against liability for accidents caused by persons who become intoxicated as a result of the insured's serving of alcoholic beverages

Front 29

Exclusive remedy

Back 29

The workers compensation law grants benifits at the employee's sole source of recovery against the employer, so employees lose the right to sue their employers for the injuries covered by workers compensation.

Front 30

Dual-capacity doctrine

Back 30

A legal doctrine giving the employee the right to sue the employer when the employer acts in the capacity other than the employer.

Front 31

Third-party-over action

Back 31

A separate legal action, brought by a defendant in a lawsuit, against a third party that might be liable to the defendant for all or part of the plaintiff's claim in the original lawsuit.

Front 32

Fire legal liability coverage

Back 32

Coverage for the insured's liability for fire damage to premises rented to or temporarily occupied by the named insured.

Front 33

4 Elements of Negligence

Back 33

1. A duty owed
2. A breach of duty
3. A close causal connection between the negligent act and resulting harm.
4. The occurrence of actual loss or damage.

Front 34

Tort Categories

Back 34

1. Negligence
2. Intentional torts
3. Strict torts

Front 35

Premises and Operations Liability

Back 35

Liability arising from bodily injury or property damage caused by either an accident that occurs on the organizations owned, leased, or rented premises or that arises out of the organization's ongoing operations but occurs away from the premises.

Front 36

Product Liability

Back 36

Liability arising out of the manufacture, distribution, or sale of an unsafe, dangerous,or defective product and the failure of the manufacturer, distributor, or retailer to meet its legal duties to the user or consumer of the product.

Front 37

Completed Operations Liability

Back 37

the legal responsibility of a contractor, repairer, or other entity for bodily injury or property damage arising out of the entity's completed work.

Front 38

Risk Control Considerations

Back 38

1. Cost Effectiveness
2. Legal Requirements
3. Requirements and Recommendations of organizational insurer's
4. Company Image
5.Risk Tolerance