____ insurance covers an employer against its common-law liability for occupational injury to employees. The insurer also agrees to defend the insured against claims or suits seeking covered damages.

• A. Workers' Compensation Insurance
• B. Employers Liability
• C. General Liability
• D. Product Liability

Answer: (B)

This coverage is about the employer’s liability for injuries to employees and the defense of related claims. Employers liability is the part of a workers’ compensation policy that protects the employer against common-law or statutory claims of negligence by employees who are injured on the job, and it also covers the insurer’s defense costs in those lawsuits. Workers’ compensation provides benefits to employees regardless of fault and is generally the exclusive remedy, so it doesn’t handle lawsuits seeking damages and doesn’t always cover the employer’s legal defense in those suits. General liability covers third-party injuries or property damage, not injuries to employees arising from the employer’s negligence within the workers’ compensation framework. Product liability deals with injuries caused by a product, not the employer’s liability for employee injuries. So the correct concept is that employers liability addresses the employer’s potential liability to employees and the defense of such claims.