Do you know what public liability actually covers you for and why it is a critical cover to have?
All businesses require public liability insurance as it covers a business if a customer or member of the public suffers a loss or injury as a result of the businesses activities – should they decide to sue. Over recent years claims against businesses that may have caused damage, injury or loss have increased, with the common saying “where there is blame, there is a claim” being put more and more into practice.
Have public liability claims really increased?
Over the past 5 years there has been a significant rise in claims against businesses,with employers liability claims doubling between 2009 and 2014 whilst public liability claims against small to medium sized businesses have more than doubled in the during the same period, according to findings by AXA Insurance.
It is important to remember that public liability isn’t a legal requirement whereas as employers liability is a legal requirement.
It was found that claims frequency on employers liability was 23.6% by 2014 this figure had risen to 45%, a substantial and concerning rise. Public liability figures stood at 1.9% but had risen to 5.1% in 2015.
The above figures show that there has been a change in employees and consumers attitudes to accidents in the workplace. With the rise of the mobile phone, it has made obtaining evidence much easier and it appears that today’s society have become much more willing to take legal action.
Make sure you are covered with public liability insurance
Public liability is essential for most businesses and it is clear that customers want to know their business is protected by the right cover, business owners owe it to customers, and themselves, to ensure that this insurance cover is in place.
Businesses have had to take into considerations the increase of claims made by the public and have had to be vigilant at ensuring the right cover is in place. Hospitals and government service providers require high levels of liability cover for trades people working within their premises and even restaurants / cafes with chairs outside must have special requirements from the local council. With all the potential risks, for any business, making sure you have the right cover in place will give you peace of mind, knowing that the cost of any potential claims will be covered.
Public liability is business critical, a small initial outlay could protect you from a very expensive claim in the future, should the worst happen.
If you would like more information on how to protect your business and our public liability offering, get in touch today.