5 things you need to know about public liability insurance

If you own your own business then it’s vital that you have public liability insurance. There are many instances in which a member of the public could make a claim against you for compensation, whether you’re at fault or not. If this happens and you are without insurance, your business could be severely damaged.
What is public liability insurance?
Public liability insurance covers you in the event of a person being injured in some way by your business, or if you damage third party property when working. For example, if you’re a builder and you drop a brick from the top of some scaffolding and it lands on a car, a claim could be made against you for compensation.
Do I have to have it?
It’s not compulsory, but it’s strongly recommended that you do have it. It’s especially important if members of the public are interacting with your company, whether they be entering a premises owned by you, receiving deliveries or visiting a site you’re working on. Even very minimal damage to person or property can lead to large fines and legal bills if you are found to be negligent, and these can be covered by your insurance policy.
Can any type of business be covered?
Yes. Regardless of what your business is, you’ll be able to find the appropriate cover for you. Insurance companies will also be able to provide you with extra cover that suits your needs. For example, if you are a builder and need tools cover, then you can select this additional insurance too.  If you own a shop, for example, then your stock will be insured too.
I run a very small business from home. Do I still need it?
Yes, because you just don’t know what might happen. If you invite someone into your home office and they trip over a cable you could end up shelling out thousands for compensation, regardless of the size of your company.
How do I know if I’ve got the right cover?
When choosing a public liability insurance policy you can tell each insurance company the exact details of your company and they will be able to tailor a policy for you. Ask as many questions as you need to and remember to always read the small print!