Public liability insurance is a form of business insurance that protects your company against claims made by members of the public who are injured or suffer loss as a result of your business activities. It’s important to have this type of cover to reduce the risk of being sued over something that may have happened on your premises, such as an accident or injury caused by faulty equipment or building work. Public liability insurance can cover your legal costs and any compensation awarded if you’re found liable for someone else’s injury or damage caused by negligence.

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What is public liability

Public liability insurance covers you for any damages you cause to other people or property. It protects your business when a customer falls ill after consuming food at one of your restaurants, or if an employee accidentally damages a vehicle belonging to someone else.

In some cases, it can also help cover the cost of compensation payouts when people suffer injuries while attending events hosted by your business. If a small child gets hurt while playing on an inflatable castle that’s been set up in the playground area of one of your pubs or restaurants, public liability insurance may help cover their medical expenses and lost earnings as they recover from their injuries.

Range of public liability and how much it costs

Public liability insurance is a legal requirement for most businesses. It protects them against claims by third parties, such as members of the public and clients, who have been injured owing to your business’s negligence or faulty products (for example, if a customer falls over on a piece of equipment left in a public area).

Public liability insurance is also known as third party cover or commercial product liability insurance. It’s a type of commercial insurance that helps businesses manage their risks effectively—and avoid costly lawsuits from disgruntled customers. In Australia, all businesses except sole traders are legally required to hold public liability insurance with an insurer approved by the Australian Securities & Investments Commission (ASIC).

The cost of public liability varies depending on the size of your business, how much coverage you need and other factors. For example, if you own a large company with hundreds or even thousands of employees, it will cost more than if you run a small business with only a handful of workers. All of these factors could mean your public liability insurance policy can range from $500 to $5,000.

To find out more about how this type of cover works and how much it costs, click here or contact us.

Factors which can determine what level of cover is needed

How many employees you have, how many clients you have and what properties you have are all factors which will determine the level of cover that is required. It is also important to understand that public liability insurance can often be bundled together with other insurances (such as motor trade insurance) or it may be possible to add an excess waiver onto your public liability policy.

In addition to the number of employees and clients, it’s also important to consider the number of vehicles used by your business. If a vehicle owned by your business causes damage but you are not driving it yourself, then this could make a significant difference when determining whether you need additional cover above a certain amount.

How costs differ between trades and different business sizes

Carpentry, plumbing, and painting are some of the most common types of trades that require public liability insurance. These different trades have different price ranges depending on their risk profile and the location where they operate.

The size of your business also affects how much you pay; larger companies tend to have more complex operations, so they require higher premiums (on average). However, smaller businesses are typically exposed to less risk because they deal with fewer clients and don’t engage in as many projects.

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The costs of public liability insurance are determined by factors such as the type of industry you work in and how much cover you choose to take out. If you need more information on what this could mean for your business, then contact us today to speak with a team member.