Page 165 - Liability Insurance IC74

Guide for Liability Insurance

(c) Where professional negligence may result in financial
loss and/or bodily injury. E.g, architects.

Basis of liability in negligence means of failure to
exercise our fear, reasonable and competence degree
of skill as judged with reference to the standard expected
of the profession. Negligence arises when there is a
duty of care, a breach of the duty and consequent loss
or damage by the breach.

The duty of care is owed to 2 categories of persons: (i)
those to whom the professional man is under some
contractual or fiduciary relationship.(ii) those to a duty
of care will arise under circumstances. The professional
man is a also liable for the negligence of his employees
arising out of and in the course of their employment.
Liability may also arise under the Consumer Protection
Act.

Q2. How does the Insured's liability cause for:
(a) Negligence of his own employees -
(b) Negligence of Contractor and his employees

Ans: (a) Repeat of Q7 of May 2007

According to the legal doctrine, an employer is liable
for the negligence of his employee. The employer's

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