At any time during the normal course of your business, as you interact with staff, clients, contractors, suppliers, and so on, something could go wrong. If an issue does arise then any one of these people could assert that they had suffered injury, damage or loss because of your business, and then take action against you in order to claim compensation. There are a wide range of claims you might have to defend yourself against, including those of bodily injury, property damage, slander, libel and negligence. In any case, you will be covered by your Commercial Liability Insurance policy.
It is imperative that every owner of every business makes absolutely sure that they have commercial liability insurance as the company’s first line of defence in protecting itself and its assets.
What Is Commercial General Liability Insurance?
When you have commercial liability insurance coverage, your business is protected against any claims related to your business activities. Put simply, a commercial liability insurance policy provides protection to your business in the form of the resources necessary to keep you afloat when unexpected and costly events (for example, a lawsuit stemming from the accidental injury of a client) play havoc with your business plans.
Many business owners find that would-be clients require that they have commercial liability insurance before they will agree to sign a contract. So, it’s always wise to have adequate coverage before a client requires it of you, as it can end up affecting your ability to land a crucial client and make money for your business.
Employers’ liability insurance
Employers’ liability insurance is a legal requirement for most companies that have employees. It is one of the most important types of commercial liability insurance that can cover legal fees and compensation costs when a member of your staff or an ex-employee sues you for injury, illness or loss caused by their interaction with your business.
Most employers are obliged under the law to make sure they have a minimum of £5m worth of employers’ liability cover, or else face a fine of as much as £2,500 for every day that they remain unprotected. Some businesses are not required to take out this form of insurance but even if not required, it is still a good idea, as employees’ claims for compensation can be painfully high.
Public liability insurance
Public liability insurance covers costs and compensation if your company or the services you provide are deemed to have been injured or caused damage to a client, a contractor or just a random member of the public, or their property. For example, if someone slips on a wet floor with no warning sign in your building, you could face a hefty compensation claim. This is one of the many situations in which public liability cover could save the day.
Product liability insurance
Product liability insurance can protect you against claims made when someone sustains injury or damage to themselves or their property as a direct result of a product that you have manufactured or in some cases, even just sold.
Commercial liability insurance is too important to leave to chance. Contact us today for more information and a free quote: 0121 796 0123.