Public Liability Insurance will cover you against damage caused to property or another person as a result of your actions in the context of your business. If a claim is made following damage and you are found liable, you could …
Public Liability Insurance is the most widely used form of insurance for Australian businesses, and for good reason. No matter how vigilant you are, the unexpected can happen and can leave you having to foot the financial cost for something going wrong. Thankfully, Public Liability Insurance can help protect you against these types of situations.
What will it cover?
Public Liability Insurance will cover you against damage caused to property or another person as a result of your actions in the context of your business. If a claim is made following damage and you are found liable, you could find yourself having to cover medical bills, rehabilitation, repair, replacement or a number of other costs. It’s also important to remember that people are within their rights to sue if they feel you are in the wrong and this can incur huge costs. Public Liability Insurance will protect against the financial impact of these situations and means you don’t have to pay out of your own pocket.
There are a number of insurance companies who provide Public Liability Insurance and this means that prices for policies are competitive. Speak to your insurance broker about what would be the best policy for you as they will have specific information about what is offered by different insurers.
What is the level of cover?
As a general rule, the minimum amount you can be insured for with Public Liability Insurance is $5 million. The standard amount most businesses choose to be insured for is $20 million, although there is no upper limit. If you’re unsure how much you need to be insured for, ask your insurance broker.
Is it compulsory?
As a general rule, Public Liability Insurance in Australia is not compulsory. However, for some individual professions there are rules which mean that it can be compulsory and they won’t be able to work unless they have it in place. For example, for some tradies such as electricians and plumbers, they are unable to obtain their licence in their state unless they have proof of Public Liability Insurance. Some businesses also set out requirements for Public Liability Insurance in employee contracts.
Does it differ between States?
Generally, there is not much difference between States when it comes to Public Liability Insurance and policies are fairly standard.
However, there are some small differences. For example, Queensland electricians need to take out a special form of Public Liability Insurance which includes consumer protection cover. Also, plumbers in New South Wales have insurance which includes a special extension for plumbers warranty cover.
Public Liability Insurance is the most widely known and used forms of insurance in Australia. Accidents happen and you could easily find yourself in a situation where you are required to pay hundreds, and even thousands, of dollars. Public Liability Insurance protects you against damages that have occurred as a result of your actions and means you don’t need to pay for the financial costs.
For more information about Public Liability Insurance or to obtain a quote, contact Elliott Insurance Brokers today.
