Have you been held liable, and is your AVP (personal liability insurance), AVB (business liability insurance) or professional indemnity insurance refusing cover? Ask in which capacity, for which event and under which exclusion the insurer is assessing the claim. Whether you are liable towards the injured party is not the same question as whether your insurer provides cover for it.
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Written by Onur Arslan, attorney at Arslan Advocaten. Do you have questions about your own situation? Get in touch.
Which insurance fits the claim?
A personal liability insurance policy covers different risks from a business liability insurance policy. A professional error resulting in pure financial loss may in turn fall under professional indemnity insurance. The label given to the claim matters less than what actually happened and which activities are insured.
Send the liability claim, the agreement, relevant correspondence and the policy. Check which person or company is being held liable. A claim against a director is not necessarily the same claim as a claim against the private limited company (bv).
Timing of the event and notification
Some policies link cover to the moment of the event causing the loss; others to the moment a claim is made or notified. Under a claims-made policy, retroactive cover, extended reporting periods and an earlier notification of circumstances may be important.
Draw up a timeline of the act, the loss, the first complaint, the liability claim and the notification. Notify the insurer of relevant documents in good time. Do not wait for a formal writ of summons if a specific claim or a circumstance that must be notified already exists.
Exclusions and conditions
An insurer may rely on intent, contractually increased liability, the care, custody and control exclusion (opzicht), excluded activities or another provision. Ask for the wording and how it is specifically applied. An injured party who uses the word “intent” does not automatically prove that the policy exclusion applies.
An admission of liability or a settlement without consultation can also lead to disputes. Pass on the facts correctly, but do not make far-reaching commitments on behalf of the insurer. At the same time, your defence on the merits must be conducted in good time; the coverage dispute does not halt the main proceedings.
Defence and costs during the coverage dispute
Ask whether the insurer is willing to arrange your defence under reservation of rights and which arrangements then apply. Record who gives instructions, whose interests are represented and who bears the costs if there is no cover. Where interests conflict, independent legal assistance may be necessary.
The limitation period for claims against the insurer must be monitored separately. The Supreme Court of the Netherlands (Hoge Raad) ruled on when that period starts for liability insurance in ECLI:NL:HR:2025:1686, 14 November 2025. The date of the accident is not necessarily the starting point of the insurance claim in every case.
Frequently asked questions
Am I not liable if my insurer refuses cover?
That does not follow. Liability and policy cover are separate questions.
May I reach a settlement myself?
First have the consequences for cover and your defence assessed, and coordinate with the insurer where possible.
Is my business error covered by my AVP?
Not automatically. The insured capacity and activities are decisive.
What can Arslan do?
We can align the coverage defence with the defence on the merits of the liability claim.
Read more about limitation periods and overlapping insurance policies.
Have the refusal of cover reviewed while your defence against the liability claim is safeguarded.
This page provides general information and is not legal advice about your own situation. No rights can be derived from its content.
