Why Choose Liability Coverage Under Business Insurance?
Liability insurance is designed to safeguard your business when unexpected incidents affect others. Whether it’s a customer injury, property damage to third-party assets, or a lawsuit alleging negligence, liability protection helps cover costs and keeps your business running smoothly while you defend against claims.
Key benefits include:
Who Needs
Liability Insurance?
Any business that interacts with customers, suppliers, or the public should consider liability coverage. It’s especially critical for:
- Small to large businesses with physical premises
- Businesses selling products or services
- Events and entertainment companies
- Property owners
- Transportation and logistics companies
- Trade services working on client properties
- Manufacturers and product suppliers
Business Insurance
What It Covers:
- Property damage to contents and stock
- Business interruption
- Glass Replacement
- Money and theft
- Machinery and electronic breakdown
- General property protection
Liability Coverage
What It Covers:
- Third-party injuries
- Property damage to others
- Legal claims and defence costs
- Product-related incidents
Get Covered
Today
Don’t wait until it’s too late. Protect your business with tailored liability coverage. Ready to get started? Request a Quote or speak with one of our insurance specialists today.
Contact UsFrequently Asked Questions.
What is liability insurance?
Liability insurance protects your business when you’re legally responsible for injury or damage to third parties. It covers compensation claims, legal costs, and settlements, ensuring one incident doesn’t threaten your business’s financial stability. This essential coverage protects against customer injuries, property damage, and professional mistakes.
Do I need liability coverage if I already have business insurance?
Many business insurance policies include basic liability protection, but coverage levels and types vary. Review your current policy to ensure adequate limits and coverage types for your specific risks. Additional liability coverage may be needed for professional services, product sales, or high-risk activities.
How much liability coverage should I have?
Coverage needs depend on your industry, business size, and risk exposure. Most businesses require minimum $10-20 million public liability coverage. Knightsbridge recommends a minimum 20 million Public Liability indemnity limit.
Does liability insurance cover legal fees?
Yes, liability insurance typically covers legal defence costs including solicitor fees, court costs, and expert witnesses. This coverage usually applies regardless of claim outcome, protecting you from expensive legal bills even when defending frivolous claims. Legal costs are often covered in addition to compensation limits.
Is liability insurance expensive?
Liability insurance costs vary by industry, coverage limits, and risk factors, typically ranging from 0.5-2% of annual revenue. While premiums represent an additional expense, they’re minimal compared to potential uninsured claim costs. Risk management improvements and bundling with other coverage can help reduce premiums.
Does liability insurance cover my employees?
Standard liability insurance covers claims from third parties, not employee injuries which fall under workers’ compensation. However, liability coverage protects your business when employees cause harm to others during work activities. Some policies include employment practices liability for wrongful termination or discrimination claims.