Public Liability Insurance protects your business should a member of the public be killed, injured or have their property damaged while dealing with you, your staff or your products. While it’s most commonly taken out directly by businesses to cover potential risks to the public from their day-to-day operations, Public Liability Insurance is also built into some property insurance policies. 

What does public liability insurance cover? 

covers people, businesses, events and contractors for legal defence costs if legal action is taken against you or the business, whether it’s a genuine claim or a try-on from a disgruntled customer. This insurance will also pay any damages awarded by a court if found responsible for causing personal injury or damage to property, as well as any resulting financial loss. While Public Liability cover can be mandatory, like plumbers in some states, it’s mostly optional and a decision for the business owner. 

Product Liability Insurance is a critical form of insurance for businesses involved in the manufacturing, distribution, or selling of products. This type of insurance provides protection against legal and financial liabilities that arise from injuries or damages caused by a company’s products. 

What does product liability insurance cover? 

If you make, import, sell, distribute or repair products, you can be responsible for personal injury, property damage or resulting financial loss due to faults in the product, product advice about the use, or even customer misuse. You are unlikely to be able to depend on the original manufacturer, importer or retailer to protect you and pay for your legal costs. So, it’s a good idea to take out Product Liability Insurance as protection against potentially having to pay expensive legal defence costs and any damages awarded by a court.