Glossary of the liability insurance

A glossary is usually also included in the terms and conditions. This list provides an overview and a brief explanation of the terms that are often used in the policy. We have also listed a number of terms that relate to liability insurance for you.

Liability from a wrongful act

The wrongful act is an act in which the perpetrator can be blamed. The damage was caused by a certain action. This is also called legal liability.

Liability from a lawful act

These are the situations that cannot be seen as an unlawful act, but that do require compensation.

Term of payment

The period in which you pay the premium is the payment period. You can often choose a period of a month, a quarter or a year. The term you choose can influence your premium. When you immediately pay for a year, you will often get a discount.

Contractual liability

In the case of contractual liability, the damage arises because one of the two parties has not fulfilled its obligations. This may include, for example, failure to comply with an agreement or failure to follow a contract. This liability is an unlawful act.


Below the policy states, among other things, what is covered and who is insured. For example, consider yourself, housemates and guests staying at your house. In addition, it is also clarified when the insurance takes effect. For example, the workplace can be an exception.

Own risk

This is the amount that you have to pay with an insurance policy before you get reimbursed. Whether or not a deductible excess applies to the liability insurance depends on the insurer. Sometimes there is no deductible excess, sometimes you have to pay a certain amount yourself and sometimes you can opt for a voluntary deductible excess in exchange for a premium discount.

Switching service

When you switch to new liability insurance, insurers often offer to cancel the old liability insurance for you. This is called the switch or transfer service.

Policy time

When you take out insurance, you will receive the full policy terms and conditions by post or e-mail. Then you often have two weeks to cancel the insurance based on the policy.


You usually have to pay the premium for the following month, also known as prepayment. The policy conditions also explain what happens when you do not pay this premium. You will often not receive coverage if damage occurs due to your actions.

Risk liability

In the case of risk liability there is no question of a guilty party. The liability is linked to a certain risk. For example, as an entrepreneur, you can be responsible for employees or a building regardless of whether damage has been caused by your fault.

Debt liability

A person has acted unlawfully or carelessly, causing damage. In such a case, there is a specific act whereby perceptible damage can be identified and as a result of this, a guilty party can be identified.

Recovery costs

The costs that a victim must incur to recover the damage from the perpetrator. These are often legal costs. Whether these costs are covered by your liability insurance or not, depends on your insurer and is stated in the policy values.

Insured sum

The sum insured is the amount for which you are insured with your student liability insurance. You choose the height of this amount when taking out the insurance. You can often opt for coverage from 500,000 euros to 2,500,000 euros.