Do small business owners need Public Liability?
Public Liability Insurance is a common insurance policy held by business owners. Regardless of your industry, if your business or service involves interaction with members of the public in person, Public Liability is a policy you are likely to consider. You may not have needed to claim on a public liability insurance policy before but having a policy should a claim against you arise means it may assist with , the cost associated with them, which can be substantial.
What Public Liability claims are made against small businesses?
There are many ways a claim under Public Liability can come about. Understanding some of the common reasons behind PL claims can help you stay vigilant. Here are some of the common reasons for Public Liability Claims…
Slips, trips & falls
Trips, slips and falls are the most common examples used when explaining the coverage provided by a Public Liability Insurance policy. This is because they are a common cause of claims. They can occur due to liquid spills, stray or out of place objects on the floor, or even due to a failure to erect appropriate signage (e.g. failure to put up a wet floor sign while mopping). Slips, trips and falls can not only cause personal injury, but also damage to third party property . While this type of insurance mainly benefits businesses that operate out of a physical site where clients can visit, it can also assist remote businesses that attend client’s sites or carry out their business activities in public.
Defective products can also be a cause a liability claim. For example, if your business is involved in the manufacturing, sale or supply of products, there is a possibility that someone may be injured as a result of using these products. This type of claim may be covered under a Product Liability Insurance policy, which is usually provided with a standard Public Liability Insurance policy.
However, even if your business doesn’t sell products, claims can still come about as a result of defective products. For example, you might have a chair in your office that is not structurally sound, and a client may sit on it and injure themselves. In this instance, if the client or visitor took legal action against you for their injury, a Public Liability insurance policy may cover the claim, and help to cover the legal costs to defend the claim, as well as compensation you might be required to pay to the client.
Whether it’s an interior décor feature, or a fixture that has not been installed properly, falling objects can cause serious injury or property damage. It doesn’t have to be from above either. A piece of wall-art on a loose nail can also be enough to bring about a personal injury claim against your business.
Building & Construction failures
Building & construction failures can also cause serious, if not catastrophic injuries. If you’re leasing your premises, you might think that you are not responsible for building failures that cause an injury. However, it is important to consider that if you’re renting your business site, you may be responsible for identifying potential hazards and reporting them to your property manager/owner.
How to get Public Liability insurance
If you do not currently have in place Public Liability Insurance, and would like to consider it, now is a good time to get in touch with Aon. Public Liability Insurance is sometimes available as part of a Business Insurance policy designed to cover your business equipment and property, but can also be taken out on its own. To find out more about Public Liability Insurance, visit https://business-insurance.aon.com.au/public-liability-insurance