Bharti AXA INSURANCE GLOSSARY Limited Liability Limited liability means that the financial liability of a person/ entity is limited to a fixed sum. For example, the liability of individual shareholders of a company towards the debt taken by the company is limited to the nominal values of the shares held by the individual. When a third-party sues a limited liability company, It is suing the company and not the owners or investors. It is important to remember that liability of the shareholders for their own actions may be unlimited, or go beyond the investment made. For example, if any of the shareholders provides a personal guarantee to secure a debt – in case of a default by the company, the guarantor would be responsible for the repayment of the debt. The other shareholders will not be liable towards the same. Request Call Back Category * - Select -CarTwo WheelerHealthTravelPersonal Accident Buy Renew Claim submit Related Posts Disclaimer : The information published on this website is for the public's reference only. Content of this information is to provide an overview of your Travel needs and should not be relied upon for personal, medical, legal or financial decisions and you should consult an appropriate professional for specific advice. Bharti AXA General Insurance Company Limited makes no representations about the suitability, reliability, timeliness, and accuracy of the information, travel, services, or any other items mentioned on this subject for any purpose whatsoever.