Get in the know with different types of public liability
The first type of liability is ‘Liability Insurance’. Health and safety statistics have shown that each year a huge number of people are injured or killed at work. Therefore, liability insurance is a must, and crucial for the workplace. Purchasing liability insurance is simple for instance you can purchase it online, with either a credit or debit card.
The second type of liability is ‘Public liability.’ The standard limits for public liability insurance are £1,000,000, £2,000,000 and £5,000,000. Unlike employer’s liability insurance which is a required cover by the law if you employ any staff, public liability insurance is not obligatory, but it is usually considered a key factor for companies which are looking to protect themselves against any unexpected claims that have the ability to put the future of the business at risk. Public liability, therefore should really be taken out by any business that deals directly with the public, or works away from the premises or home.
The third type of liability is ‘Employers Liability Insurance.’ If you are an employer, then you must have employer’s liability insurance. Failure to do so could result in a fine of up to £2,500 a day, when no cover was in place. Employer’s liability insurance enables businesses to meet the costs of compensation and legal fees. Employees injured due to their employer’s negligence can still seek compensation even if the business had ceased trade. You may still need employer’s liability insurance even if you work with self-employed staff, volunteers or unpaid employees. It is always wise to check with your broker or insurer when you take on new staff whatever the purpose.
The fourth is ‘Public Liability.’ This is a good insurance if you work in building trades. The insurance will cover the business against any public liability claims. The main covers are for legal liability for death or injury to third parties and damage to third party property. This sort of cover normally comes as a standard risk within most shops and offices.
The fifth option if ‘Employers Liability.’ All companies that have employees must have employer’s liability insurance cover by law. The cover enables businesses to meet the costs of compensation and legal fees for employees who are taken ill due to work. For many employers’ liability insurance cover is vital for all firms, this was relaxed last year though, in a move that freed about 300,000 sole traders in the UK from the obligation.
Updated on 8/28/2008