Statutory liability is a legal term that refers to holding a person, company or other entity accountable for their actions or omissions thereof on account of a related law.
Companies can be held statutorily liable for violations of a variety of laws surrounding common business activities; examples include laws regarding the environment, workplace safety, consumer privacy, licensing, and permits.
Different types of statutory liability include professional liability, employee benefits liability, and medical malpractice liability etc. Employee Compensation policy is extended to cover Statutory Liability and the extent of this liability can be unlimited.