ABSTRACT
A number of different types of liability policy are liable to be called upon in connection with construction projects. Those most likely to be called into use are: public liability; employer's liability; road traffic liability; product liability; professional indemnity; and directors' and officers' liability. There are also other more esoteric forms of cover such as premises pollution liability and cover against liability for liquidated damages. Public liability policies are commonly written on a claims occurring basis. Attention has already been drawn to the contractual liability exclusion commonly to be found in public liability policies. Public liability policies will usually contain a requirement that the insured recovers indemnity only in respect of claims in excess of a certain sum and limiting the amount of indemnity payable to a particular sum of money. Liability policies commonly contain clauses prohibiting the insured from settling a claim without the consent of insurers.
