Definition of Third Party Insurance

hi my name is Susan Colmes and today we're going to talk about thirdparty Insurance liability when it comes to Insurance there's typically three parties that you're looking to cover you have the primary coverage or the primary liability which is yourself and you're the person that's actually buying the insurance it can be yourself personally or it can be the company that you own and then you have secondary which is actually the insurance company that is picking up this risk and then sometimes you have third party liability where you're assigning the risk that you're purchasing onto a third party prime example is say you're a catering company and you're renting out a hall so you have your insurance the insurance carrier is covering you but then you're extending your liability over to the hall so that if there is a trip and fall or somebody gets sick that's actually attending the event then your insurance is going to cover them so the main thing to understand is you know policies can be very very different you some policies will automatically cover a third party as long as there's an insurable interest at no charge and then sometimes it'll actually cause you know charge you a fee to do this so the best thing to do is to talk to your broker and understand your policy and know if there's any going to be any additional cost if you need to add on somebody as a third party liability

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