Civil liability insurance is an insurance contract under which the insurer undertakes, in exchange for the payment of a premium, to compensate for material, personal and/or economic damages caused to third parties and for which the insured must be civilly liable. This is stated in Law 50/1980, of October 8, on the Insurance Contract, in the eighth section thereof.[1]​.

Two types of civil liability can be differentiated: contractual or extracontractual. In the first case, it responds to non-compliance or transgression of a contract. On the other hand, extracontractual civil liability, whose definitions are specified in article 1902 et seq. of the Civil Code,[2]​ is that in which there is no legal relationship or contract between the parties involved in the incident. For example, the responsibility of a head of family towards his children and his house, one who owns an animal whether as livestock, pet or game, the owner of a piece of land whose elements within it have caused damage to others... The latter is less common for insurance to cover, but it can still be included.

In this way, there are different types of civil liability insurance depending on who contracts it, whether it is a company, self-employed, professional or any individual or group that has said burden.

In general, it is important to take out this insurance because, in the event of a situation in which you have to respond for damages to third parties, you would be responsible with your own assets if there is no policy that covers it. Therefore, it can be seen as a way of protecting the insured's assets and it is advisable to have it contracted for professionals, companies or self-employed people, especially through sector specialists such as an insurance broker.

As mentioned above, depending on who takes out the insurance, we will be talking about a type of civil liability insurance and, therefore, a variation of coverage.

Of course, depending on who takes out this type of insurance and their activity, the price of the policy will vary. To better understand how much civil liability insurance costs, consulting with a professional in the sector is most advisable, for example, an insurance broker.