By Harry Price
Mistakes can happen and do happen in business and making sure that you have cover to help with any errors or oversights is essential. Most errors can be easily fixed whilst others can require significant proportions of money to make right any wrong.
Public liability insurance is something that all business should have. Whether you are an independent market trader, who works outside in all weathers; covering any damage that could be caused to a member of public is essential. With market stalls in particular, the coordinator of an event, will not allow anyone to trade without proof of a certificate. This not only covers the individual trader but also the organiser. Just having this insurance takes away the stress about the possibility of a lawsuit if anything did ever occur which would leave you in a devastating financial position, or without a business.
Comparing quotes on line to find an appropriate policy is essential. So what do you need to look for when searching for the right policy for you?
What is public liability insurance?
- An insurance policy will cover the business liability to pay any damage to a third party that you may have wronged during the course of running your business. This includes someone getting injured as a result of your business’ operation or someone else’s property getting damaged.
- Some policies will also cover any medical or legal expenses that may result in any action being taken against you.
What does public liability insurance cover?
- The minimum requirement is £1 million, if your business works interactively with the general public then a £5 million insurance is a sensible amount to have.
- Talking to an expert advisor is definitely the way forward, to guarantee you get the correct amount of protection for you and your business.
- There are many insurers out there, however certain insurance companies will cover specific areas. There are dedicated insurers for market traders, restaurants, pubs and musicians for example. Any insurance policy that you take out will have profession specifics built around it.
- Some companies will require you to pay an excess in event of any claim set against you.
Who should take out liability insurance?
- If you have visitors to your premises, work alongside the public on any level, or work on other people’s property then a liability insurance is both appropriate and sensible for you as a business or an individual.
- A good rule of thumb to consider is that the larger the company the higher the premium. Your premium can be affected depending on the type of environment you work in, such as a builder working on scaffolding. Accidents are often beyond your personal control, therefore public liability insurance can give you one less thing to worry about when running a business. It’s another concern that can be ticked off the list, just by knowing that the cover is there if needed.
If you are still unsure on the best policy for you, contact a specialist advisor and they will source the correct policy for you.
About the author: Harry Price is a writer from the south coast. In his spare time, he paints landscape pictures, runs marathons and teaches english to foreign students.
Images: 1. Mpelletier1/Wikipedia; "Workplace safety signs"; CC BY-SA 3.0; 2. Author owned and licensed