Territories is based in one location. Nearly every kind of insurance policy assumes that it will be in effect in a specific area, or “coverage territory.”
For instance, the majority of liability policies only cover incidents that take place within the coverage territory.
The majority of policies issued in the United States cover Puerto Rico, Canada, and the United States (with its territories and possessions).
If an injury or damage occurs while a person or property is traveling between the United States, Puerto Rico, or Canada, they would also cover international waters or airspace.
Policies can cover any country outside of the United States, Puerto Rico, and Canada for an additional fee.
This could mean that a company is liable for products sold or used outside the United States or for claims based on content posted on the Internet that was accessed in another country.
Many of these policies stipulate that any lawsuit must be brought in the United States, Puerto Rico, or Canada.
