Most businesses today interact in some manner with the public. This interaction legally binds businesses to take responsibility for those customers, as well as other members of the public who enter onto their property. This would also include businesses that are run out of one’s home. Sometimes accidents happen where customers or members of the public become injured and in these situations, businesses are required by law to take responsibility. Due to this legal obligation, is it essential that businesses obtain public liability insurance as part of their business insurance portfolio.
Let’s say a customer becomes injured whilst on your property, either due to your fault or that of one of your employees. The injured customer could potentially file a claim against you. This sort of litigation can be expensive and common. Today, many solicitors do not charge fees unless a monetary settlement is awarded, as a result, more plaintiffs are more likely to seek legal measures for compensation.
Having public liability insurance in your business policy would also protect you if a customer’s property becomes damaged. Should a claim be made against your business, then the business insurance would help pay for any legal services you need as a result of the claim. Keep in mind that this sort of coverage will not extend to any damage to employee property or employee injuries; that would necessitate different sort of insurance policy. You can purchase cover from many different insurance companies .
Many wonder if they have to have business insurance for their business. In some industries, public liability insurance for a business is mandatory. However, for most industries, it is not. Even though the insurance is not required, the law is written so that a business must pay for losses that happen to the public. If a claim is granted, a business is legally required to pay it, which can be costly. This is where having public liability business insurance can come in handy. In some situations, businesses that do not have any sort of coverage may have to liquidate their assets in order to pay the claim and this can sometimes cause the business to fail.