An incident involving a lift can become the liability of the building owner or operator
Lifts are part of everyday use in homes, business centres, hotels, hospitals, apartment blocks and commercial buildings.
However, a mechanical or technical fault, a lack of maintenance, or an incident occurring during use may cause injury to third parties or damage to their property.
In such a situation, it is not only the technical problem affecting the lift that matters, but also the legal and financial liability arising from the incident.
Lift Liability Insurance provides for the liabilities that may arise from loss or injury caused to third parties during the use of a lift to be assessed within the scope, limits and terms set out in the policy.
Which losses may give rise to liability?
Following an accident involving a lift, the following may give rise to liability towards third parties:
- Injury
- Permanent disability
- Compensation claims arising from death
- Material damage to the belongings or other property of third parties
- Litigation and legal defence costs that may be considered under the terms of the policy
The scope of cover, the liability limits and the exclusions are determined according to the terms of the policy issued.
Liability does not arise only in a major accident
Lift liability is not limited to incidents resulting in serious injury or death.
A malfunction of the door mechanism, the car failing to stop correctly at floor level, sudden movement, a technical fault, or another problem in the area of use may also cause harm to third parties.
An incident that appears minor at first may develop into:
- Medical expenses
- Claims for loss of earning capacity
- Allegations of material damage
- Legal proceedings
- High-value compensation claims
For this reason, what matters is not only how the incident occurred, but also establishing who is legally liable as a result of the incident.
Why do maintenance and operating conditions matter?
The building in which the lift is located, the intensity of use and the maintenance arrangements are important elements of the liability picture.
The following factors may be considered together in the assessment:
- The manner in which the building housing the lift is used
- Residential or commercial use
- The number of lifts
- The intensity of use
- The technical specifications
- The maintenance and servicing arrangements
- The organisation providing the maintenance service
- Details of any past accidents or incidents
- The liability limit requested
Certain conditions relating to maintenance and operation may need to be met before the policy can be issued.
Who may be liable?
Depending on the legal and operational structure of the building in which the lift is located, liability may arise for the following parties:
- The building owner
- The building or estate management
- The operator
- The facilities management
- Other responsible parties
The liability of maintenance or servicing companies is assessed separately, according to the activity carried out, the contractual relationship and the nature of the incident.
It should therefore not be assumed that liability rests with the same party in every incident.
Damage to the lift and liability are not the same thing
The primary purpose of Lift Liability Insurance is not to cover the mechanical or physical damage sustained by the lift itself.
The main concern is the legal and financial liability that may arise from loss or injury caused to third parties through the use or operation of the lift.
This distinction is important in order to structure the policy correctly.
The link between the technical system and legal liability
A lift accident may begin with a technical fault.
However, the consequences of the incident are not solely technical.
When the condition of the injured person, the material damage sustained, the lift's maintenance history, the operating conditions and the manner in which the incident occurred are assessed together, legal liability may arise.
For this reason, the central question in Lift Liability Insurance is not merely “what happened in the lift?” but “what liability has arisen as a result of the incident?”