4 Reasons Why You Need Public Liability Insurance

Owning and running a business is tough. It can even be tougher if you're operating without public liability insurance. Without this crucial risk controlling strategy, you're opening up your business to a lot of potential problems. 

While it's not a legal requirement, having public liability insurance is a wise investment for your business. You never know when accidents and incidents will occur. When they do happen, you need to be covered. Here are a few reasons why you as a business owner should have public liability insurance. 

Accidents Happen

While you should always ensure that your customers are safe from harm, some problems are unavoidable. Even when you follow all the health and safety measures required, an accident could still happen. You can't afford to risk your entire business by being oblivious or complacent about the risks involved in your line of work. 

Whether your business is at fault or not, you'll still need to spend money on legal costs required to defend yourself in court. Public liability insurance assures you of protection no matter what happens within your business. You'll not need to sacrifice additional costs in order to solve the issue. 

Your Client's Feel Safe and Protected

As a business owner who deals with the public often, you have both the moral and legal obligation to protect your customers as much as you can. This gives your customers some peace of mind. Public liability insurance ensures that the customer can receive the compensation they deserve if they fall any insured risk while on your business premise. 

Contract Prerequisite

While you're not required legally to have this insurance for your business, some of the contracts you get into or desire to get into with other companies or individuals may have it as a prerequisite. Some of these contracts will even mention a minimum amount that your public liability insurance has to cover. 

There is a wide variety of companies that are only willing to do businesses with companies that have public liability insurance. Investing in this type of insurance will open up a lot more opportunities for you. 

Protects Your Business

If you don't have public liability insurance, a small accident could render you bankrupt. In addition to the legal fees, you also have to settle any resulting medical bills and property damage costs. This high cost can force you out of business entirely and lead you to file for bankruptcy. 

A good public liability insurance cover caters for the costs of the legal battle and any medical bills that may arise. This frees up your mind to focus on your business, as opposed to legal and financial nightmares which might lead you to file for insolvency.

Protect your customer and your business by getting a public liability cover for your business.



Tags:
463 Words

About Me

Martha's Money Blog Hello! My name Martha and this is my money advice blog. I never used to be very good with money but all of that changed when I met my wonderful husband Mike. Mike trained as an accountant and works for a big city firm so he knows all about cents and dollars. He also knows the best way to invest money to ensure that you get the best possible return on it. I have learnt so much from Mike that has proven useful in my life that I decided to start this blog to offer money advice to other people.

Search

Categories

Archive

Latest Posts

4 Reasons Why You Need Public Liability Insurance
2 July 2020
Owning and running a business is tough. It can even be tougher if you're operating without public liability insurance. Without this crucial risk contr

Personal Finances: Three Practical Saving Tips for the Average Income Earner
26 December 2017
In theory, saving money for your future needs and emergencies is a simple and straightforward issue. After all, the process only involves setting apar

Answers to 3 Commonly-asked Questions about Tax Depreciation for Rental Properties
15 December 2017
Whether you choose to manage your taxes in-house or you involve an outsourced tax agent, it's important to know, as a landlord, what rules apply to yo