Understanding Public Liability
Public Liability Insurance covers your business for damages and compensation payouts, as well as related legal fees, in the event that your business has caused injury or death to a member of the public or damage to their property.
Despite best intentions, accidents do happen both in your workplace and when you are out and about visiting clients or interacting with the public. If an accident arises as a result of something your business has done or while performing your job, then a client, a fellow contractor, or member of the public can claim against your business for compensation.
Who needs Public Liability Insurance?
Any business or person who deals with the public should consider Public Liability as a core cover. It protects your business against financial instability in the event of a claim, while also protecting against unknown loss for risks such as injury, or damage to a third party’s property that can arise in even the most careful business.
Hairdressers, Fitness Instructors and Construction Workers are examples of professions which may require Public Liability Insurance.
If a customer trips, falls and breaks their leg in your shop, or if you are a roofer and accidentally drop a tile and it hits a member of the public walking by, then your Public Liability cover would be triggered.
Public liability insurance isn’t mandatory by law but it’s often a contractual requirement. Many companies, organisations or clients insist on their suppliers having public liability cover in place as they want to ensure you have adequate protection in the event of an accident.
What does Public Liability cover help with?
Essentially, when a third party claims against your business your Public Liability insurance would cover the costs that may occur in defending the claim including legal fees and other expenses such as loss adjusters fees. If the third party is successful and is subsequently awarded damages, your PL Insurance will cover the cost of compensation on the agreed amount.
Policy covers are available for £2 million, £5 million and £10 million with higher amounts are available upon request. Your premium and insurance cover will be based specifically on the details you provide to us.
When do I need to notify The Insurance Octopus of a potential claim?
You should let us know at the earliest opportunity if you have a problem which you think is likely to give rise to a claim against your business for compensation. In order to try and minimise the problem and avoid unnecessary legal costs and distress, it is important to take prompt action.
It is important to check the terms and conditions of your liability policy for information regarding notification requirements – take special note: a late notification or failure to notify will cause adverse repercussions for your business such as withdrawal of insurance cover.
How do I get Public Liability Insurance?
Get in touch with our specialist team here at The Insurance Octopus who can walk you through the different levels of cover available for your specific industry or trade and help to you to get a competitive liability policy in place.
Alternatively, you can search for a quote using our online quote tool, find the right cover for your business.