Which type of insurance indemnifies against legal liabilities to others for injuries to persons, property, or other interests because of specified risks of conduct?

• A. CASUALTY INSURANCE
• B. LIABILITY INSURANCE
• C. PROPERTY INSURANCE
• D. PRODUCT LIABILITY

Answer: (A)

Liability insurance is the coverage that protects you from claims by others for injuries or damages caused by your actions, property, or conduct. It indemnifies legal liabilities to third parties, meaning it pays for defense costs and settlements when someone is harmed or their property is damaged and you’re legally responsible. This directly matches the idea of covering legal liabilities to others for injuries to persons, property, or other interests due to specified risks of conduct.

Casualty is a broad category that includes liability but isn’t as precise about covering third-party legal claims. Property insurance focuses on damage to the insured’s own property, not on third-party claims. Product liability is a specific type of liability insurance dealing with injuries or damages caused by a product, not all general liabilities.