Civil liability

General civil liability

Civil liability insurance covers two types of damages: bodily injury and material damages. This coverage comes into play in the event you are sued for either of these types of damages.

This insurance covers the risk of injury to your customers and visitors at your workplace or off-site during work related to your company.

The purpose of civil liability insurance is to protect your assets. The amount of insurance you purchase should correspond to the level of risk to which you are exposed. Your broker will assess your situation and let you know how much insurance you need.

In the event of a covered accident, whether or not you are at fault, this coverage includes legal costs. 

Examples

You are a tenant in a building worth $2,000,000. You could be held liable for a fire and for damages to the building and its contents.

Someone slips and falls at your workplace and is seriously injured.

Professional liability/Errors and omissions insurance

Professional liability insurance and errors and omissions insurance are essential to any company that provides professional services or designs and/or installs products, and that wants to protect itself against potential lawsuits.

It is intended for people who are likely to cause their customers to lose time and money as a result of defects in their products, erroneous advice or omitted instructions.

There are several recognized professions that are eligible for these policies. Visit the Government of Québec website to find out if you qualify. 

Some professional orders require you to have this type of coverage. However, note that it does not replace general civil liability.

Umbrella/excess liability

Do your insurance policies provide only basic coverage and therefore fail to meet your business needs?

Some fields are exposed to risks that make them more susceptible to lawsuits. Ask your broker if yours is one of them.

Umbrella/excess liability coverage provides you with anywhere from $1 million to $5 million in additional civil liability coverage.

Directors' and officers' liability

Since the amendment of the Civil Code of Québec in 1986, the directors of a for-profit or non-profit organization can be sued and held personally liable for acts committed during the performance of their duties. The professional responsibilities of directors and officers include the following three duties: 

• Duty of diligence (duty of care): Act reasonably and in good faith, in the performance of their professional activities
• Duty of loyalty: Place the interests of the organization before their own
• Duty of obedience: Act within the scope of the organization, within applicable rules and laws

Examples of lawsuits:

• Wrongful dismissal
• Income tax evasion

If you sit on a board of directors, purchasing a directors’ and officers’ liability policy is strongly recommended. If your reputation is important to you, don’t risk it!

Pollution

Depending on your activity sector, you may need pollution insurance.

The risk of pollution covers soil remediation on third-party property. We also offer coverage of environmental cleanup on property you own or lease.