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Commercial Insurance – Why You Need Public Liability Coverage

by Dave Collins on December 23, 2016

Commercial Insurance – Why You Need Public Liability Coverage

By Denise Beresford

When running a business it’s important to bear in mind that anything can go wrong at anytime. And for many of these things insurance in the UK is compulsory. However, there are times where insurance isn’t necessary, and one of those times is the time where public liability insurance comes into play. But whilst it’s not required to have public liability coverage many customers will refuse to work with a business that doesn’t have this insurance in place.

What Does it Cover?

Public liability insurance for a small business is as relevant as an insurance policy for a big business as the premiums for most businesses is determined by looking at the business’s turnover annually, so small businesses are encouraged to invest in an insurance policy. This insurance policy is designed to cover the following things:

  • Legal fees associated with a potential claim for compensation.
  • Any compensation that has to be paid out following a successful claim for compensation by a member of the public.
  • Costs that may be sought out by the NHS for things like ambulance costs.

Who Needs It?

By law most companies don’t require any form of public liability insurance. But even though it’s not compulsory it’s still a worthy investment for any business as a member of the public can potentially claim compensation if they fall down the stairs, injure themselves on a misplaced rug, or in any other way they might possibly hurt themselves. Never take a chance as members of the public will sue for practically anything.

However, if customers won’t be coming to the business’s headquarters then it’s acceptable to not have this form of insurance. Public liability insurance for small business that’s based online wouldn’t need this sort of insurance policy, for example.

For some businesses this is a compulsory form of insurance though. The most prominent example is perhaps the horse riding industry as the horses can be unpredictable and both rider and mount are constantly coming into contact with the general public; the general public are not coming to them, as is the case with most businesses. Taxi companies will also invest in this insurance policy as they are providing a service to the general public.

The Benefits of Investing

  • Firms that only work with people who have this insurance policy will be open for business; that’s why public liability insurance for small business is especially important.
  • It covers any legal costs, expenses, and compensation associated with a claim brought up by a member of the public.
  • The cost of the policy is based on annual turnover, so everybody is getting a fair deal.

Public liability insurance for small business in the UK can be purchased through

Article Source:—Why-You-Need-Public-Liability-Coverage&id=7111041

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