Public liability insurance explained…
If you interact with customers and members of the public throughout your business, then public liability insurance can help protect your business against claims made for loss, damage, or injury to the public or their property caused by your company. Getting public liability insurance at the right level of cover is a simple way of making sure that you and your company are protected. If your business is found to be at fault, it will cover compensation claims.
What is public liability insurance?
If you employ one or more members of staff then you are legally required to have employers’ liability insurance in place
It’s a type of insurance which provides indemnity for any injuries caused by your business and damages to third party property by your business. Any damage, large or small, that could lead to a claim.
Whether you’re a sole trader working at a customer’s property or a business owner with premises visited by members of the public, accidents that harm people and property can occur. This may lead to expensive and inconvenient fees as well as pose a threat to your professional reputation. Having public liability insurance in place can give you peace of mind that, should an unfortunate incident occur, you’ll have it covered.
For example, you may have carried out a repair job at a customer’s premise that resulted in accidental damage to their property. In this instance you would need to pay an excess amount previously agreed with your insurer but further costs resulting from the damage and up to the limit of indemnity selected would be covered by your public liability insurance.
Public liability insurance is widely recommended but it is not a legal requirement for most businesses. Certain businesses (those working with dangerous animals, riding schools, nuclear sites, and train track constructors), have specific laws requiring them to have public liability. But for most businesses, the main consideration will be if you employ one or more members of staff. If you employ one or more members of staff then you are legally required to have employers’ liability insurance in place. This protects you against the cost of claims for compensation from employee illness or injury that has been brought about as a consequence of working for you. This is critical for the protection of your employees and your business. Employers’ liability insurance can also be offered alongside your public liability insurance.
How does public liability insurance work?
You select the level of public liability insurance you require ranging from £1 million to £10 million for members of the public that interact with your business
You select the level of public liability insurance you require ranging from £1 million to £10 million for members of the public that interact with your business. Cover is available for all types of businesses from cafés to carpenters and even scaffolders and high-risk businesses.
Public liability insurance covers you from compensation claims made against your business. It can also cover legal fees and costs depending on the specific options you choose. This protects against injury or damage to people’s property.
In the event of a claim, you usually need to pay an excess before the insurer will reimburse you. For an additional cost you can purchase an additional policy which will reimburse you for your excess should you need to claim.
Businesscomparison.com have partnered with One Insurance Solution which is an independent broker that we trust to provide specialist public liability insurance products to suit your needs and protect your business.
What are the benefits of comparing public liability insurance with us?
- Up to £10 million worth of cover
- Option to add employers’ liability insurance
- Optional extras including tools, contract works, plant, personal accident and more
- Suitability – if your business doesn’t tick all the usual boxes we will do our best to find you the right solution
What are the questions to consider when deciding whether to take out liability insurance?
- Are customers visiting my premises at risk?
- Do I carry out work at customers’ properties?
- Could I afford to pay compensation directly?
- Do I employ staff I need to protect with insurance?