Liability Insurance basics for Australians
No matter the size of your business, claims relating to Liability can run into thousands of dollars and also millions of dollars. It’s important to cover yourself with Liability Insurance if you want to protect yourself against third party claims for illness, injury, and damages. In some industries this insurance is also mandatory.
What is Liability Insurance?
Liability Insurance is the insurance that will protect you from claims from third parties. This might be for products that you sell, work that you have completed, and projects that have finished, as well as for accidents that happen on site whilst you work.
Products Liability Insurance will be the cover the you need to engage to protect your Australian business against the financial fall out of claims to do with any work or product you’ve sold and completed. Whilst Public Liability Insurance is the cover you’ll need if you’re looking to protect yourself from third party claims of injury, illness, and damage from the course of your work.
What can Liability Insurance Cover?
Liability Insurance covers a number of different items and risks depending on the policy you take out, here is an example of what your policy could cover:
- Faulty products sold that result in a loss for the client (injury, illness or damage)
- Faulty work completed that results in a loss for the client (injury, illness or damage)
- First aid expenses and ambulance fee
- Legal costs and expenses
- Medical costs such as rehabilitation, specialist fees, and doctor’s bills
- Replacement of property or repair after a claim
Do I need Liability Insurance?
You can determine if you need Liability Insurance by contacting your industry body for more clarification and also by speaking to a qualified insurance broker who knows your industry.
You’ll need to take into consideration the risks of something going wrong whilst you’re working and after you’ve finished your work too. For example, a forklift driver will have a relatively high risk of a claim, as it’s possible they could drop client property. Whilst in an office environment where not many visitors come through, the risks will be relatively low.
What should I do now?
If you’re not sure if Liability Insurance is necessary within your industry, or you’re just seeking some quick questions answered, call All Trades Cover today on 1300 826 850 or fill in the easy online form. You can also obtain a quick Online Liability Insurance Quote via the website.