Disasters are inevitable, and they happen to everyone. The worst thing is if they strike when you aren't prepared. Getting public insurance liability insurance is the best way to prepare for a disaster that may strike. If a member of the public got injured on your premises, you might have to compensate them for the injuries they sustain. If a compensation claim hits your business, it would suffer a severe financial impact without public liability insurance.
Who's the Best Candidate for Public Liability Insurance?
Although public liability isn't a legal requirement, lack of it could see you sink in legal bills. If customers, clients or members of the public visit your business often or if you have some work going on in your home, public liability insurance isn't optional. Do you still need public liability insurance if you usually work at other people's businesses or homes or in other public spaces? Yes, because you may not be compensated when injured if you aren't covered. If you also intend to sign some contracts with the government, private organisations or local councils, public liability insurance is a requirement.
How Are Public Liability Premiums Calculated?
The public liability premiums depend on certain factors such as how you interact with the public and the cover level you need. Other aspects determining the public liability premiums include the number of employees in your business, the business's size and the risk levels associated with your business activities. If you involve the public in your business—as most businesses across the world do—some of your business activities could cause damage or injuries, making you liable. Without public liability insurance, you may spend all your money compensating those who have filed lawsuits against your business.
Does Public Liability Insurance Cover Everything?
No. If you were found liable for injuries or property damage, the public liability insurance would protect you financially only if the injuries and property damages involved a third party. If the injuries or damage occurred outside your business premises or beyond the work hours, the claims could be termed invalid. The public liability insurance won't cover you if the damage was deliberate or if you got involved in unlawful activities.
What Should You Know When Taking Public Liability Insurance?
Get a risk register to help you minimise risks, and avoid licences that don't complement your activities. List all the organisation or business assets and ensure the insurer usually insures activities related to yours. Having disqualified and untrained volunteers and employees or having the wrong equipment could affect you in a big way. The premiums could also increase if you are involved in food and alcohol businesses. Compare the policies of different public liability providers and choose one with reasonable premiums.
To learn more, contact a resource like National Corporate Broking Pty Ltd.