FD Beck Insurance Brokers

How much Public Liability Insurance cover do I need?

Before we help answer the question ‘how much Public Liability insurance cover do I need?’, let’s confirm if you actually need Public Liability (PL) insurance.

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PL should apply to you if your business involves the public visiting your premises. Or, if you’re providing a service of any kind. Perhaps your business might involve handling third party property. We have a blog that may help decide if you need it.

Available cover amounts

First, we’ll explain the cover amount available. Australia offers 3 main levels of insurance cover amounts.
Some policies can vary. $15 million is offered by some companies if you feel $20 million could be a little excessive. In fact, you could take out a whopping $50 million cover policy. However, this is rare. We advise to only take out this amount if you feel it’s absolutely necessary for your business.

How do you know which amount is best?

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Generally, the cover amount you choose may depend on your business size. For instance, do you have a small business operating from home? $5 million cover amount would be the most appropriate. In addition, your cover amount may depend on the level of risk involved. This being if a person may suffer injury or if their property may end up lost/ damaged.

Similarly, it’s worth understanding the scale of the work involved. You can better judge the policy amount that works best for you. For instance, what if your construction business is undergoing building works in the heart of the city? There may be people everywhere! We might advise that you lean towards $20 million coverage amount.

Legal requirement

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Obtaining PL insurance is no legal requirement, although it is recommended if your business is dealing with the public. The higher the risk, the more PL insurance cover you should take out. This should help save your financial backside. However, a trades industry contract may include clauses making it a legal requirement to take out PL Insurance. Furthermore, there may be a minimum amount that should be taken out in order to meet certain requirements. For example, government and school contracts. They may set higher public liability amounts ranging from $10 to $20 million.


In summary, PL insurance offers three main cover amounts. $5 million, $10 million and $20 million. However, this is likely to depend on both the size and the nature of your business. Also, the amount should reflect the level of risk involved. The higher the potential risk, the more you should take out. Above all, we recommend seeking additional advice for the most appropriate amount. 

The good news is, Public Liability Insurance is a relatively low-cost coverage. So, if you are a professional consultant or a business owner who is interested in getting Public Liability Insurance coverage, speak to us! Let us discuss your insurance needs and how much coverage your business needs.

The great news is that FD Beck has a free online insurance quoting tool tailored for contractors, consultants or freelance professionals. In fact, our online calculator has almost 150 professional occupations to choose from. FD Beck’s online PI insurance calculator offers limits options of $500,000, $1,000,000, $2,000,000 and $5,000,000. Better still, our online calculator includes other products such as Public Liability and Cyber Insurance. That’s just to name a few.

For over 100 years, FD Beck has protected Australians. Rest assured, we have the knowledge and expertise to handle every aspect of your insurance needs.

Simon Pascoe Updated Rectangle | FD Beck Insurance Broker 300x300

Simon Pascoe

For the past 27 years Simon has enjoyed a career in the Insurance industry as both a broker and underwriter. Prior to being a director at FD Beck Simon had a successful 8‐year management career with one of the worlds largest general insurers, which saw him deal with and structure insurance programs for some of Australia’s largest insurance purchasers.

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