If your business involves any contact with the public — whether customers visit your premises, you visit client sites, or you operate at markets and events — public liability insurance is one of the most fundamental forms of protection you can have. A single injury claim or property damage dispute could cost your business hundreds of thousands of dollars. Public liability insurance ensures that one unexpected incident does not end everything you have worked to build.
What Is Public Liability Insurance?
Public liability insurance covers your legal liability to pay compensation to a third party — a customer, member of the public, or another business — who suffers bodily injury or property damage as a result of your business activities. It also covers your legal defence costs, which can be substantial even if a claim is ultimately unsuccessful.
What Does Public Liability Insurance Cover?
- Bodily injury — a customer slips and falls in your shop, or a visitor is injured on your worksite.
- Property damage — you accidentally damage a client’s property while performing work at their premises.
- Legal defence costs — the cost of defending a claim in court, even if you are not found liable.
- Compensation payments — amounts you are legally required to pay to an injured or damaged third party.
Who Needs Public Liability Insurance?
Almost every business that interacts with the public should hold public liability insurance. It is particularly important for businesses in retail, hospitality, construction, trades, events, and professional services. Many landlords, event organisers, and government contracts also require contractors and tenants to hold a minimum level of public liability cover — often $10 million or $20 million — before they can operate.
How Much Public Liability Cover Do You Need?
Standard public liability limits in Australia are $5 million, $10 million, and $20 million. The right limit for your business depends on the nature of your activities, the size of your contracts, and the requirements of your clients or landlords. Many businesses default to the minimum, but the cost difference between $10 million and $20 million cover is often surprisingly small.
Get Public Liability Insurance Through HC Insurance
At HC Insurance, we arrange public liability insurance for businesses of all sizes and across all industries. We will ensure your level of cover is appropriate for your activities and that your policy responds the way you expect when you need it. Contact us today for an obligation-free quote.