Under Common Law, liability is imposed on any firm or individual carrying on business or trade or cohabitation to do so in such a manner that injury to members of the general Public or damage to their property is not caused. Compensation for injury or damage is not automatic and the plaintiff must bring his claim under tort or breach of contract.
The standard public liability policy is concerned with legal liability to third parties only and not moral liability. It also protects the insured against vicarious liability for the acts of employee or contractors.
