How to make sure you’re choosing the right public liability cover

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The type of public liability cover you need will depend entirely on the type of work you do and therefore, the risks your business encounters.

If the work your business does involves regular interaction with members of the public or other third party members, it’s plausible that a higher level of public liability insurance is needed.

It’s an unfortunate fact that accidents can and will happen; they are simply part of running a business. It doesn’t matter whether it’s someone tripping over a loose wire or slipping on some spilt paint, or even accidental damage to a client’s furniture whilst working at their home, some things just can’t be avoided. Such unforeseen circumstances are the reason for public liability insurance. The vital element of any trade insurance protocol, your business will be protected against any claims made by members of the public, customers or other third-party members, whether it’s for injury to themselves or damage incurred to their property by work relating to your business.

Level of Cover to Consider

Most insurers will provide public liability insurance starting at £1 million, going as high as £10 million. This figure is the maximum amount that your insurer will pay out in the event of a claim.

This cover is in place to protect you in the event that you are sued because they’ve been injured, or their property has been damaged, thus it’s wise to consider what the nature of any claim could be before selecting your cover level.

Claims can be made by a customer or any other third party and such cover levels are in the millions as compensation figures often consider the third party’s medical costs, ongoing care costs, loss of earnings and even travel expenses. Legal fees will also be covered so the loss to your business is minimal.

When you’re considering public liability cover for your business, be sure to check client requirements and contracts as some require a specific level of coverfrom the businesses that they coincide with. Such cases often involve work in the public sector and contracts of that nature, i.e. local authorities and government generally require suppliers to boast public liability cover of at least £5 million.

The type of public liability insurance you need boils down to how often your business comes into contact with members of the publics, clients and other third parties and the risks that such contact poses. Consider the work that your business carries out and the way it interacts with others, if risks appear to be high, select a higher-level of public liability cover.