Why Is Public Liability Cover Important?

If you run a business you have probably come across Public Liability cover, by what is it and why is it important?

As a definition, public liability insurance can protect you and your business against claims made by clients or members of the public. It covers the cost of claims for incidents that occur in connection with your business activities. This could include cover for the compensation payment or legal expenses in the instance of personal injury or death as well as the costs incurred should the property of a client or member of the public be lost or damaged on your property.

If your business encounters members of the public, you will likely need public liability insurance. Public Liability insurance is not a requirement by law, but many clients or customers might ask to see your insurance schedule and documentation before taking you on.

This type of insurance is particularly popular with shops, restaurants and salons, tradesmen such as plumbers, electricians, builders and gardeners or even signwriters or painter and decorators. This is not an exhaustive list but if your business covers any of these areas it is going to be worth having public liability insurance.

Examples of which you might need to consider Public Liability insurance protection could include the following;

  • You work on client sites.
  • You work in public areas.
  • You have customers or public visiting your business premises.

Public liability insurance is an important cover for lots of businesses. There’s always the chance of accidents happening, even for the most careful and attentive business owners. With this type of cover, both you and your clients or customers as safe and protected should things go wrong. With the right cover, property can be repaired, possessions can be replaced, and medical costs paid for without risking financial difficulty.

Any business that has visitors to its premises or carries out work on client sites should consider public liability insurance. Some trade associations will not allow you to register with them unless you have a valid liability policy. If you carry out Local government or council contracts, for example, you will usually be asked to provide proof of public liability insurance before they do business with you.

As all business are different therefore protection can be tailored to your business needs different factors including the extent of contact you have with the public, the types of clients you work with and the size of your projects. It is important to make sure the type of cover you take out is suitable to the type of work you will be carrying out as the levels of cover may not be sufficient for some business contracts or clients

If you run a business which comes into contact with the public in any way it is going to be something you should consider. The insurance covers your legal liability and provides compensation making sure your business is covered.

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