It doesn’t matter what business you run; always consider having Public Liability Insurance. For most entrepreneurs, this is one of the essential insurance policies that they should not overlook.
There can be many reasons why public liability insurance is essential for a business. It’s one of the first things we recommend to entrepreneurs when starting their own companies. Here are some of the top reasons why.
It Protects Your Business from Lawsuits
The business is responsible for paying compensation and costs if a customer or client is injured because of the company’s negligence. It can be expensive and usually requires legal assistance. Public liability insurance helps to protect your business against claims arising from personal injury or property damage, as well as claims made by customers, clients, vendors, and employees by paying out if they win their case.
A public liability insurance policy also protects your business against third-party liability claims such as those made by people who are not directly involved with your company but have been injured while on the premises you own or occupy. It also protects against lawsuits by members of the public who have suffered loss or damage due to something happening on your property (for example, vandalism).
It Helps Customers to Trust You
As a business owner, it’s important to remember that your customers want to feel safe while doing business with you. They want to know that there is a backstop in place if anything goes wrong during their interactions with your company, and this is where public liability insurance comes into play.
It ensures that customers are protected against any potential losses due to negligence or other issues related to their service or product. The policy also helps assure customers that the business will be around for many years (or even decades) after making their purchase or signing on as new clients.
It Can Help You Win Bids for Big Projects
For example, if your company bids for a large project and doesn’t have public liability insurance, the client might be hesitant to award the contract to you. However, if they see that you have this coverage in place and other businesses don’t, they will be more likely to go with your bid.
Public liability insurance can help win bids for big projects because it shows that you are a responsible business owner who takes care of their employees and customers. If clients know this about you before choosing which company to hire out of multiple prospective bidders, they’ll likely choose yours over another competitor’s based purely on trust alone.
It Protects You from Accidental Damages
Public liability insurance covers you in the case of an accident on your business premises. It can be anything from a slip and fall to damage caused by fire or flood to accidents caused by staff or contractors (your own or someone working for you). The private industry in the United States witnesses about 2.8 million non-fatal workplace accidents and injuries annually.
As well as protecting yourself from the costs of any damage, public liability insurance also protects against personal injury claims where injuries result from an incident on your premises. It also covers other people who may be injured at work. For example, if someone is hurt when visiting one of your suppliers in their shop.
It Protects You From Unexpected Events and Circumstances
In 2021, there were losses worth $280 billion due to natural disasters, and almost 60% of this total was not insured. Public Liability Insurance can protect you from unexpected events and circumstances. For example, suppose your business premises is flooded by a natural disaster such as a flood or an earthquake. In that case, your Public Liability Insurance will cover the costs of repairing the damage to ensure you can continue trading on the same premises.
It can also cover other situations where someone might be injured on your property or while visiting there. For example, if someone trips over one of the chairs in your office and breaks their leg, then it would be covered under this insurance policy too. In the case of employees, this will be covered under worker compensation insurance, which is another policy business owners must consider.
Public Liability Insurance Is Essential for Many Businesses
Public liability insurance is a legal requirement for many businesses. This type of insurance covers the legal costs of defending you, your employees, and your business against claims made by third parties.
It is essential to consider this kind of insurance because it will help protect your business from potential losses resulting from an accident or incident that was not your fault. It can also help protect you financially if someone makes a claim against you or sues you for damages following an accident or injury at one of your premises.
Public liability insurance also provides cover if a public member suffers injury on your premises, even if they were trespassing illegally at the time. This type of cover is essential when running any business as it means you won’t have to worry about large amounts being awarded against you for injuries sustained by customers who come into contact with dangerous objects within the workplace.
Having public liability insurance is a must for every business. It will help you protect yourself against any legal claims which may be made against your company. These range from slips and falls to employees working unsafely and causing injuries or damage to property. Moreover, insurance can also cover third parties who have suffered loss or damage due to acts of negligence on behalf of your business or employees.