Why is public liability insurance so important?
Public liability insurance is an important part of any business’s policy, but it’s particularly crucial for tradesmen and women.
Due to the nature of their work, people operating in trades are often vulnerable to accidents that cause bodily injuries to the public or damage to their property.
This is why public liability insurance policy is a legal requirement of workers in many trades across Australia, such as electricians in Queensland and Tasmania or plumbers in Victoria.
Most public liability cover offers both financial and legal protection to a tradesperson if they are found responsible for a workplace accident that caused property damage or personal injury to a third party.
If you are found accountable for harm to person or property, you will then be liable to pay for any resulting financial costs, including medical bills, repairs to property or the legal costs of filing a claim.
Often, if a self-employed contractor was required to pay these costs out-of-pocket, they could find themselves struggling to stay financially viable, which could result in them having to file for bankruptcy or losing their business and livelihood.
This is why public liability insurance is so important. A comprehensive policy will mean your insurance company takes care of the financial settlement so you can focus on your business.
However, each public liability policy is different and may be subject to various restrictions and limitations, including caps on the amount able to claimed.
Additionally, every trade and tradesperson is different so how do you know which liability cover will meet your specific requirements?
If you are unsure about whether your public liability insurance policy is meeting all your needs, you may want to talk to the Trade Insurance team.
Trade Insurance is a leading insurance broker that specialises in providing tailored insurance solutions to cover the specific requirements of tradesmen and builders.