Public liability insurance is part of the large general insurance network of risk, capitalization to protect the buyer of liability insurance against the potential claims of personal liabilities posed by lawsuits and other claims coming from within the policy's coverage. The major form of public liability insurance in Australia is a general business risk. While general business risk covers claims arising from product defects, advertising claims, negligence claims, harassment, public or employee complaints, and contract claims, it does not cover claims stemming from slander, malicious prosecution, and discrimination. The claims of these natures are usually handled through special risk insurers.
An example of a public liability insurance claim would be an employee who suffered an injury at work due to the employer's negligence. In this case, the employer must reimburse workers' compensation for medical and hospital expenses plus loss of wages, and in some cases damages for pain and suffering. The employee may also be entitled to compensation for emotional distress and loss of earning capacity. This type of insurance will usually cover claims up to the point where the employee is reasonably safe from future injury or illness, depending on the original circumstances surrounding the accident.
It is particularly important to have public liability insurance for businesses with a significant number of employees. Businesses which employ a significant number of employees are more likely to be subjected to claims made by employees in the course of doing business. It may even be necessary for businesses to recruit and retain employees in the event of a future accident. As well as providing protection for employees, public liability insurance for businesses also provides peace of mind for owners and managers. It can mean the difference between life and death in the event of a lawsuit.
It is really important for small businesses to have public liability insurance. The Small Business Administration estimates that just one person injured on the premises of a small business could cost it millions in damages. In addition, the injury could cause irreparable financial harm to the owner or manager of the business and the Small Business Administration warns that the resulting lawsuits could shut smaller businesses down.
Claims that result from public liability insurance will often cover the cost of damage and attorney fees if an employee or member of staff sustains an injury as a result of an accident on the premises of your business. If you have employees, this policy will usually also provide compensation for damages sustained by customers or clients who have been damaged or killed due to your business's negligence. These accidents can occur in a number of different ways. For example, if it is unavoidable for a customer or client to fall off a chair or stairs due to faulty installation or dangerous floorboards, or if a customer or client slips and falls in a busy shopping mall, you will be eligible to make a compensation claim under this policy. Injuries caused by weather such as a lightening strike can also usually be covered by a public liability cover.
The cost of public liability insurance covers the costs of defending any lawsuit that you may need to bring against a party who has caused you damage or suffered an injury as a result of your business operations. The amount that your policy will cover varies, with some policies covering up to a certain amount for each occurrence of a potential injury. These costs are often referred to as "basic expenses". They will include repair costs, medical bills and legal fees, but will not include any damages that result from an accident.
If your public liability insurance also covers claims made by members of the public for injury or death, it will usually cover these two. This is often known as Personal Injury Coverage (PIP). Personal injury coverage covers such things as pain and suffering, funeral expenses and lost earnings. It does not normally cover any damages to real property or any permanent disability.
However, you should note that even in the event that a lawsuit is settled out of court, you may still have to pay legal fees. You will generally have to pay for the legal cost of defending yourself, unless your lawyer can advise that you file for bankruptcy. This is because filing for bankruptcy can prevent you from having to make any payments for a period of time. However, these types of cases are very rare and would require the special attention of a qualified bankruptcy attorney. Public liability insurance covers many different types of lawsuits, so it is important that you read the policy carefully before agreeing to purchase it.
An example of a public liability insurance claim would be an employee who suffered an injury at work due to the employer's negligence. In this case, the employer must reimburse workers' compensation for medical and hospital expenses plus loss of wages, and in some cases damages for pain and suffering. The employee may also be entitled to compensation for emotional distress and loss of earning capacity. This type of insurance will usually cover claims up to the point where the employee is reasonably safe from future injury or illness, depending on the original circumstances surrounding the accident.
It is particularly important to have public liability insurance for businesses with a significant number of employees. Businesses which employ a significant number of employees are more likely to be subjected to claims made by employees in the course of doing business. It may even be necessary for businesses to recruit and retain employees in the event of a future accident. As well as providing protection for employees, public liability insurance for businesses also provides peace of mind for owners and managers. It can mean the difference between life and death in the event of a lawsuit.
It is really important for small businesses to have public liability insurance. The Small Business Administration estimates that just one person injured on the premises of a small business could cost it millions in damages. In addition, the injury could cause irreparable financial harm to the owner or manager of the business and the Small Business Administration warns that the resulting lawsuits could shut smaller businesses down.
Claims that result from public liability insurance will often cover the cost of damage and attorney fees if an employee or member of staff sustains an injury as a result of an accident on the premises of your business. If you have employees, this policy will usually also provide compensation for damages sustained by customers or clients who have been damaged or killed due to your business's negligence. These accidents can occur in a number of different ways. For example, if it is unavoidable for a customer or client to fall off a chair or stairs due to faulty installation or dangerous floorboards, or if a customer or client slips and falls in a busy shopping mall, you will be eligible to make a compensation claim under this policy. Injuries caused by weather such as a lightening strike can also usually be covered by a public liability cover.
The cost of public liability insurance covers the costs of defending any lawsuit that you may need to bring against a party who has caused you damage or suffered an injury as a result of your business operations. The amount that your policy will cover varies, with some policies covering up to a certain amount for each occurrence of a potential injury. These costs are often referred to as "basic expenses". They will include repair costs, medical bills and legal fees, but will not include any damages that result from an accident.
If your public liability insurance also covers claims made by members of the public for injury or death, it will usually cover these two. This is often known as Personal Injury Coverage (PIP). Personal injury coverage covers such things as pain and suffering, funeral expenses and lost earnings. It does not normally cover any damages to real property or any permanent disability.
However, you should note that even in the event that a lawsuit is settled out of court, you may still have to pay legal fees. You will generally have to pay for the legal cost of defending yourself, unless your lawyer can advise that you file for bankruptcy. This is because filing for bankruptcy can prevent you from having to make any payments for a period of time. However, these types of cases are very rare and would require the special attention of a qualified bankruptcy attorney. Public liability insurance covers many different types of lawsuits, so it is important that you read the policy carefully before agreeing to purchase it.
