Spotlight on Public Liability Insurance

Public liability insurance is the most popular type of business insurance here in Australia. As increasing numbers of people look to the courts for damages against companies when they think they have suffered losses, it is even more crucial for a business to protect itself. So, here we’ll explore public and product liability insurance in a little more detail here, so you can determine your specific needs.

What is Covered?

There are two primary risks facing Australian businesses that can be protected with public liability insurance; the risk of causing damage to property or the risk of causing death or injury to another person. These are both serious scenarios, and people who have suffered these losses are able to sue responsible parties through the Australian legal system in the courts.

These risks are the main focus of public liability insurance. So, if you cause personal injury or damage to another person through your negligence or faulty workmanship, a court could find you responsible. This means that you may face a bill for compensation that can be hundreds of thousands of dollars. Public liability provides protection for this. Your insurer will get involved in the process early to determine what you may or may not have responsibility for. If your insurer deems you’re responsible, they will negotiate a financial settlement or act on your behalf if the case goes to court. If a verdict is lodged against you, your policy will cover any financial costs that are awarded by the court, providing the incident and sum is covered by your policy.

What Isn’t Covered?

Every type of public liability insurance in Perth will have different exclusions. Some of these exclusions are common to all different policies. Generally, your policy is not likely to cover unlawful activities, deliberate acts to cause injury or damage, property damage suffered by your employees or you or personal injuries to your employees or yourself.

There may also be exclusions on your policy that relate to certain business types or occupations. This can include working in high risk locations, construction projects over a specified size or large marine vessels. Most mainstream insurance provides will not cover these exclusions, so you may need to seek a specialist insurance provider for a specially designed policy.

Do You Need Public Liability Insurance?

Almost any business can benefit from public liability insurance. This is particularly important if there is a risk your business activities may cause personal injury to others or property damage. There are some types of businesses that are required by law to have adequate public liability coverage. For example, many trade occupations need cover to obtain a contractor’s licence. Tradesmen also often need to hold insurance to enter worksites or construction companies.

If you are in need of public or product liability insurance, GSK Insurance is here to help. Our team members have the experience and expertise to evaluate your unique requirements and provide a public liability insurance policy tailored to your specific needs to ensure that you have adequate coverage and protection.

Andrew Harding is very passionate about journals; he is also a author who writes for Insurance Brokers to Avoid Common Claims.