Who needs Public Liability Insurance?

Who needs Public Liability (PL) Insurance? Good question. Well, it’s recommended if you are self-employed, a contractor or own a business that requires customer or public interaction. Basically, any business which incurs risk in your business.

What do we mean by risks?

Example 1: Let’s say you’re a plumber

You have been asked to install all the pipes and fixtures in your client’s home. After a few months, the pipes installed in the bathroom crack causing a leak. This results in flooding of the whole floor where the bathroom is. Pretty problematic, right?

Example 2: You’re a painter.

While providing service to a client by painting the roof of his house, you accidentally knock off the paint tub and it falls on to your client’s car. Oops.

Example 3: Your office…

A client enters your office to submit some documents. In doing so, the client slips and breaks their arm. Ouch!

To protect yourself and your business from these risks, Public Liability Insurance is the answer. You see, PL Insurance is usually the most necessary insurance. This applies if you’re a contractor, a professional consultant or even a sole trader.

What is Public Liability Insurance?

First, let’s talk about what PL Insurance actually is. Quite simply, it’s insurance that helps protect your business from incurring costs. In addition, it provides coverage from legal action and compensation claims made against your business. For instance, if a client, a customer or a member of the public is injured in your business premises, Public Liability Insurance should have your back.

Similarly, this form of insurance can protect you when a customer’s personal property suffers damage while you are providing service. Whether damage occurs in their homes, business offices or their premises, you should be protected.

Who needs public liability insurance?

Here are some useful questions to determine whether your business needs public liability insurance…

Does your business provide a service for clients or customers?
Does your business operate in a public space?
Would visitors ever need to enter your business premises?
Does your business involve visiting properties owned by others?
Does your business ever manufacture products?

If you have answered yes to any of these questions, your business may need Public Liability insurance. In fact, if your business interacts with members of the public and clients in any form, albeit clients entering your business premises or you conduct services at a client’s home or office, Public Liability Insurance should cover you. This in turn should protect your business from risks associated with business negligence.

Almost all businesses carry the risk of bodily injuries and property damage that can be covered by Public Liability Insurance.

So, who’s really exposed to Public Liability? The list is long. However, we’ve laid some obvious examples for you of industries that are more exposed to public liability than others:

Builders
Cleaners
Fitted Furniture Installers
Fire Alarm Installers
Gas Fitters
Roofing Contractors
Scaffolding Contractor
Welders
Window Cleaners

How much will public liability insurance cost me?

The cost for the coverage for your business depends on a number of key factors. These include:

Should I get my business covered by Public Liability Insurance?

PL Insurance may not be compulsory to some occupations in some parts of Australia. Although it’s not compulsory, it’s recommended to be covered by Public Liability Insurance. Also, it’s a smart business safety net for when the business faces costly compensation payments for injuries and future damages.

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.