What You Need to Know for Any Industry

Are you a small business owner, or part of a larger corporation in Australia? Managing every aspect of your business can be incredibly stressful, and sometimes unexpected events can happen. If your potential client, supplier, employee, or member of the public suffers an injury within your workplace, they may hold you accountable for negligence.

Public Liability Insurance is one of the most important forms of coverage for businesses, and this article will delve into what Liability Insurance covers, and why it may be necessary for you. After all, no matter how cautious, every business runs the risk of causing injury or damage during its operations.

What is Public Liability Insurance?

According to the Australian Government Business website on risk management and business insurance, the right insurance can safeguard your business, customers, and income, whether you’re self-employed, an industry professional, or a business owner.

Your business may be legally required to have insurance, such as Public Liability Insurance, to safeguard your assets, equipment, stock, and premises and protect customers, employees, business owners, and your earnings.

Liability Insurance policies cover payouts or legal costs an insured party is responsible for if found legally responsible.

If a client or member of the public threatens to take legal action against you for personal injury or property damage, Liability Insurance is a lifeline. A competitor business for example can claim that your business activities caused damage to their property, but if you are insured, you are protected against these third-party declarations.

Liability Insurance policies can be taken out by anyone who owns a business, drives a car, works in the field of medicine or law to cover medical expenses or anyone who can be sued for injury or damage. A product manufacturer may research a Liability Insurance policy to cover them if a product is faulty, and a business owner may decide to purchase this insurance for security.

What types of Liability Insurance policies can Knightsbridge help you research?

Product Liability Insurance: Provides protection against claims arising from defective products that cause injury or harm.
Public Liability Insurance: Covers claims made by the public for incidents that occur in connection with the business activities, especially within public spaces.
General Liability Insurance: Covers a broad range of potential liabilities, including bodily injury, property damage, and personal injury.
Professional Liability Insurance: Also known as Errors and Omissions (E&O) insurance, it protects professionals from claims of negligence or inadequate work.
Employer’s Liability Insurance: Protects businesses from claims made by employees for work-related injuries or illnesses not covered by workers’ compensation
Property Damage: If the property is damaged due to your actions or your product, Public and products liability insurance can cover you for your liability to pay damages to the claimant.
Advertising injury: Liability arising out of advertising carried out by or on behalf of the insured.

Liability insurance is essential for protecting the financial stability of individuals and businesses by covering the costs associated with legal claims and settlements.

Business liability insurance

Are you a start-up? Small Business Insurance coverage is designed to protect your business from unplanned costs. Business Liability Insurance can be excellent for:

Retail and shops
Cleaners
Professional service providers
Tradies and contractors
Health and beauty professionals
Real estate
Commercial Property Owners
Restaurants and cafes

Regardless of how much you prepare, things can still be out of your control. A small business can be particularly vulnerable, so having the right insurance coverage is critical.

Useful insurance coverage for businesses includes Commercial Vehicle Insurance, Property Insurance, Management Liability, Cyber Insurance, General Property Insurance, Commercial Property Insurance, Business Interruption Insurance, and more.

How To Choose The Correct Liability Cover?

How do you decide on Liability Coverage for your circumstances? Let’s look at some things to consider.

Are your business activities covered? There are many policies to suit different businesses, and a Knightsbridge insurance broker can help you find a policy that covers what you do. Be mindful of exclusions, policy conditions, and endorsements as you want to be insured completely. A restaurant will need wider coverage in comparison to an accountant who works from home.
Are you required to have Public Liability Insurance? When it comes to legal requirements for this coverage, each state and territory is different. For some trade professionals, having a policy in place can be mandatory before obtaining a licence. If you work with contracts, work on building sites, or rent a business premises, Public Liability Insurance is essential.
Compare insurance policy quotes. The cheapest option may not always be the best for your business. A Knightsbridge insurance broker can work with you to understand the level of coverage.

Do you need a basic cover? Even if you have minimal public exposure, basic cover may be more appealing to you with its lower premiums. Although it offers baseline protection, some claims related to personal injury can exceed this amount. Our office recommends a minimum of $20,000,000 Public Liability indemnity limit.

If you’re a small business or a sole trader, you may be looking for a moderate level of protection that aligns with common risk and can be a good starting point as a solid foundation of security.

Are you at risk of public exposure or engaging in contracts with the local, state, or federal government? Comprehensive insurance policies can protect your business’s financial stability, safeguard your financial assets, and maintain the trust of your clients.

Higher coverage is not as common for medium businesses, however, international contracts can demand a higher level of insurance coverage above the minimum indemnity limit of $20,000,000.

If you need assistance understanding the complexity of coverage levels and whether they are right for your business needs, Knightsbridge can help you make the right move with a strategic decision.

Public Liability Cover and Options for Different Industries

Every industry has different coverage needs across Australia. Let’s take a look at some of the public Liability cover options:

Construction: Protection against accidents or damage to third parties on construction sites, such as covering tools and equipment, design errors, and employers’ liability.
Retail: Protection against claims for damage or injury caused to customers in a store. You can be covered for products sold, including malfunctions or defects.
Healthcare: Protection against claims related to patient or visitor injuries. Additionally, coverage can include medical malpractice and legal defence costs.
Hospitality: Protection for injuries or accidents that occur on the premises. Additional coverage can include coverage for food poisoning claims, loss of business due to accidents, or coverage for property damage.
Manufacturing: Protection against injury or property damage caused by products of operations. This could include coverage for machinery breakdown, and environmental liability.
Real estate and property management: Coverage for tenant injuries, property damage, and legal defence against disputes.
Transport and logistics: Coverage for cargo, vehicle damage, or third-party damage during loading/unloading.
Education and training: Coverage for errors in training services, student injury, and professional indemnity.
Event management: Coverage for equipment rental, cancellation or postponement, and liability for subcontractors.
Technology and IT services: Coverage for data breaches, intellectual property claims, and Professional Indemnity Insurance.
Entertainment and media: Coverage for copyright infringement, equipment damage, and public performance risks.
Consulting services: Coverage for legal costs, errors and omissions coverage, and Professional Indemnity Insurance.

If you would like a more comprehensive overview of insurance policies, have a read of how to shield your startup, essential business policies you can’t ignore!

Liability Insurance: Knightsbridge Can Guide You!

Have you been contemplating Liability Insurance for your business, or is it mandatory for your industry? Knightsbridge Insurance Group helps you navigate uncertain times and helps you make the right move.

No matter your circumstances, it is important to have the right insurance that reflects your circumstances and keeps you protected. As trusted insurance brokers, we help you find the right products and insurers as there’s no one-size-fits-all solution.

With expertise across a wide range of industries across Australia, we are backed by products from Steadfast Group, the largest insurance broker network in Australia. Whether you require Commercial Insurance, Speciality Insurance, or Personal Insurance, Knightsbridge is among the fastest-growing brokerages in Australia.

Get in touch and contact us today at 1300 527 4343 or [email protected] so we can ensure the best outcome for you, your business, and your family.

Liability Insurance Explained