What is a liability loss exposure?

A liability loss exposure is a legal term. It is often associated with a claim for legal responsibility. A liability is when the organization, a business or a person is responsible for a certain event or injury that is inflicted on another business or person. A liability loss exposure is the chance of being sued because of this injury.

These issues are usually associated with business insurance policies and are often a matter of dispute. However, it is a legal issue and is often taken to the law if the parties cannot settle the dispute by themselves. Then, the court hears the different stories and settles the problem for both parties.