Again, it’s imperative to know your public liability cover. Make sure to discuss this with your broker to ensure you’re getting the policy you need for your business. Additionally, always consider your objectives, financial situation and your business activities when looking for public liability insurance.
To help you evaluate your public liability insurance here’s a detailed list for reference:
It is not just the claim for compensation that you need to this about. There are also legal fees that are incurred to either defend or manage the process. In fact, we often see claims where legal expenses are just as much as the amount to compensation being claimed.
The legal defence process itself is very time-consuming, however as part of the cover the insurer gives you access to some of Australia’s best legal companies.A word of warning, check to make sure that the legal cost are in addition to the limit of indemnity.
Frequently, because the lawyer appointed by the insurer specialise in claims, they are able to settle the matter faster than what otherwise might be achieved. With out Public Liability cover you may not be able to bear the cost of these specialist legal firms. This is why it is critical to have Public Liability cover.
When a third party suffers damage within your property, they can sue you. An example would this if one of your employees, or you, accidentally spills coffee on a customer’s expensive Gucci handbag. This will be considered as third party property damage.
If a client suffers from an injury, you can be held responsible for the damages or expenses. And from a business perspective, you would also want to take the initiative to settle these matters. This will help you maintain a spotless reputation.
Public liability, like all other insurances, is limited to the amount of cover it provides. When reviewing the level of cover you should be aware of instances where this insurance for public liability has limitations or what are know as exclusions.
The following are common exclusions:
Additionally, here are some of the aspects that may not be included in your policy:
Take note that a public liability insurance policy will not cover all the costs. All policies will have excess- which is the amount you have to pay yourself.
If you are a business owner, it is clearly in your best interest to get this type of insurance. It may save your business in the long run. You may now be wondering how much this insurance cover will cost you and your business. There are many factors to consider regarding costs. Other than the policy cover, public liability costs depend on various factors like:
There are a lot of businesses and professions in Melbourne, Victoria that can benefit from this insurance. It is highly recommended if you are self-employed, own a business that requires you to interact with people and customers, or a contractor. Basically, all businesses should have Public Liability insurance.
Other Important Questions you should ask:
If you answer yes to any of these questions, then you should get public liability insurance right away. The mere fact that you are dealing with the public, in any form, means you are vulnerable to risks that this business insurance covers.
In short, the policy protects you from risks associated with claims of negligence. All businesses in Australia carry the risk of third-party bodily injuries or damages to property, and this business insurance will definitely help lessen the blow to your financial situation or needs.
So, for a shortlist, these are some of the businesses that would do well to get public liability insurance:
Obtaining PL is not a legal requirement. However, this is advisable if your business is dealing with the public. The higher the risk, the more cover you should consider. This would help you from unexpected financial expenses. On the other hand, a trades industry contract may include clauses that require PL.
Make sure to check out the minimum amount that should be obtained to comply with the requirements. In some cases, it may set higher PL amounts ranging from $10 to $20 million.
There is always the chance of accidents happening in your business in Australia. With the right policy, you can continue running or operating knowing that if things go south, you will not end up in a dire financial circumstances or struggle to make ends meet trying to pay off legal defence costs and claims. A lot of customers will also check if you have this type of business insurance as they would also suffer from the backlash of you not being insured.