Public and Products Liability
Two covers (often packaged together), that are essential to any business. Provides cover to you and your business against the financial risk of being found liable to a third party for death/injury, or property loss/damage, resulting from your negligence, and in connection with your business. Public liability is your protection against any claim lodged by a third party and covers expenses, costs and damages awarded to the third party. Products liability covers your liability for any product that you manufacture, sell, supply or distribute that results in injury, death or damage.
All businesses no matter how large or small should have Public and Products Liability cover.
Regardless of the type of work being performed there will always be a liability exposure involved. Whether the business is a sole trader, a small company with less than 5 employees or a large organization, that company or person will be open to litigation for their perceived negligence that results in personal injury or property damage to third parties.
Public and Products Liability policies are rated according to the risk involved as seen by the insurance company. If the risk is minimal the premium should reflect this. If however the risk of a Public Liability or Products Liability claim is determined to be more likely, the premiums will be greater.
When selecting a limit of indemnity, the likelihood of a claim is not the major determining factor and even a business with a very small exposure to risk should still carry a minimum of $10,000,000 cover or preferably $20,000,000.
Public and Products Liability is a very complex area of general insurance, with many exclusions, extensions, options and variations in cover. For this reason we suggest if you need cover or have cover currently but are not comfortable with some aspect of it, you should speak to one of our advisors for some expert obligation free advice.