Public liability insurance is a type of insurance that provides protection for individuals and businesses from any legal costs that may arise as a result of an accident or injury. It can provide peace of mind for those running a business, knowing that they are covered in the event of an incident.
There are various types of public liability insurance available, and it’s important to find the right policy for your needs. Some policies will offer protection for accidents that occur on your premises, while others will cover you for any incidents that take place away from your business premises.
In this article, we’ll look at the ins and outs of this type of cover, why businesses should consider it, and how to find the right policy for your needs.
What is public liability insurance?
Public liability insurance is a type of cover that protects your business and customers in the event of a claim. If a customer is injured or made ill as a result of being on your premises, they can make a claim against you for any costs, such as medical, legal, and compensation.
Public liability insurance can provide peace of mind for those running a business, knowing that they are covered in the event of an incident. There are various types of public liability insurance available, and it’s important to find the right policy for your needs. There are many instances where this type of cover would prove valuable, which we will take a deeper look at later in the article.
What is covered under public liability insurance?
Public liability insurance can provide protection for a number of things, including:
- Accidents that occur on your premises
- Injuries or illnesses caused by you or your employees
- Damage to property belonging to others
- Legal costs and compensation payments
Without adequate cover for these elements, businesses can end up losing out financially and in terms of their reputation.
You should also be aware of any exclusions to your policy; these might include claims relating to professional negligence, product liability, or anything that has been deliberate or intentional on your part. It’s always worth checking the small print of your policy to ensure you are fully aware of what is and isn’t covered.
If you are not aware of these exclusions and a claim is made against you, your insurance policy will not provide any cover, and you could be left to foot the entire bill yourself.
Can anyone take out public liability insurance?
Yes, public liability insurance is available to any business owner, whether you’re a sole trader, limited company or partnership. If you employ staff, then you must have Employers’ Liability insurance in place as well – this is a legal requirement.
With public liability cover, you are decreasing the chances of a financial pitfall should you be liable for a customer’s injury or damage to their property.
Who requires public liability insurance?
Most businesses can benefit from public liability insurance, but some may require it more than others. Businesses that have customers or members of the public coming onto their premises are usually advised to have this type of cover in place. This includes shops, restaurants, cafes, bars, and hotels.
If you host events or workshops, then you should also consider taking out public liability insurance. This will cover you in the event that someone is injured or their property is damaged as a result of your event.
If you are a tradesman, such as a builder, plumber, or electrician, then you will also need to have this type of insurance. This is because you will be working in people’s homes and therefore need to be covered in the event that something goes wrong.
As we mentioned, there are many instances in which public liability insurance would be valuable. Here are some examples:
- If a customer slips and injures themselves on your premises, they could make a claim against you for any medical costs. If you didn’t have insurance in place, you would be liable for these costs.
- If a customer’s property is damaged as a result of your work, they could make a claim against you to cover the cost of repairs.
- If you host an event and someone is injured, they could make a claim against you for any medical costs.
How much is public liability insurance in the UK?
Public liability insurance premiums vary depending on the size and nature of your business, as well as the level of cover you require. However, it’s important to remember that this is a vital form of insurance for any business and it’s worth investing in a policy that provides good protection.
On average, UK business owners are likely to pay around £100 – £200 for their public liability insurance, based on a policy with £5 million worth of cover.
What is the difference between public liability and product liability insurance?
Public liability insurance protects you in the event that someone is injured or made ill as a result of being on your premises, while product liability insurance protects you in the event that a product you have sold causes harm.
Both forms of insurance are important for businesses and it’s important to have both types of cover if you want to be fully protected.
How do I get public liability insurance in the UK?
If you’re looking to take out public liability insurance, then there are a few things you need to consider. First and foremost, you need to decide how much cover you require. As we mentioned, most businesses should look to get cover of at least £5 million.
Once you have an idea of the level of cover you need, you can start shopping around for policies. There are a number of insurers that offer this type of insurance, so it’s important to compare a few different options before making a decision.
We can help take the stress out of hunting for and comparing quotes, so see our Public Liability Insurance page to find out more details or to fill out our form. We work with a variety of brokers who specialise in this type of cover. We put you in contact with our panel, who will come to you to provide quotes, saving you the time and headache.