What Is Public Liability Insurance?

Public liability insurance is a form of business insurance that protects your business from claims made against it in the event that members of the public are injured or their property damaged as a result of the actions of your company. It can also cover costs incurred when dealing with third parties outside of your premises – for example, at their homes or businesses. Resource: https://www.tradesmansaver.co.uk/public-liability-insurance/

A policy will normally cover compensation paid out, legal fees incurred to defend a claim, and damages awarded to the victim. In addition to this, a public liability policy will usually cover the cost of repairing or replacing goods and equipment that are damaged as a result of your business. For example, if someone walks into your shop and trips over an item of stock and breaks their leg or causes damage to their personal possessions, your public liability insurance will normally cover the costs for medical fees, repairs, or replacement.

Understanding Public Liability Insurance: A Comprehensive Guide

It is important to remember that a public liability policy will not usually cover the actions of any subcontractors you employ. Generally, this is because they are not considered to be your employees for the purposes of workers’ compensation laws. It is also possible that they have their own public liability policy which would be in place should a claim arise.

As well as being a potential financial disaster, legal claims can often create bad publicity and damage the hard-earned reputation businesses strive to maintain. A good quality public liability insurance policy can help to ensure that any claims do not impact your company’s operations and can be dealt with quickly.