Public liability insurance covers your business against the risk of causing bodily injury or harm to the person or property of a third party, and which has resulted from your ownership, use and/or maintenance of the insured business premises and services.
A public liability insurance policy will provide financial backing up to a specified amount to meet the legal costs of defending a claim against your business and the costs of compensation awarded to the injured party for pain and suffering and/or property damage caused by your business.
What does public liability insurance NOT cover?
Public liability insurance doesn’t cover injury to employees, temporary or casual staff – for this you need employers’ liability insurance.
Nor does it cover you for any claims made against you or the business for negligent advice. For this you will need a separate professional indemnity policy.
Solicitors, accountants, architects, chartered surveyors, financial advisers and some healthcare professionals (e.g. doctors) are required by their professional bodies or regulators to have this type of cover, often called professional liability insurance.