Liability insurance offers necessary financial protection for businesses of all sizes. Regardless of what industry you operate in or the number of people that you employ, you will find that the cover that it provides is vital if someone tries to file for compensation against you.
There are several kinds of liability insurance you can choose from and while the specific areas that they insure you for differ, ultimately they offer protection in the event a claim is made against you or your business following damage or injury suffered by a member of the public or one of your workers.
One type of insurance that you are certain to find indispensable is public liability cover.
While you are not legally obliged to have this product, the wave of legal claims that have been filed in recent years - not to mention the prevalence of so-called 'no win, no fee' solicitors - has made it more important than ever to do all you can to protect you and your business.
It is particularly worthwhile having this insurance in place if your company comes into regular contact with members of the public or clients often visit your premises. If in some way a person was to injure themselves as a direct result of your actions, having the right public liability insurance product in place should cover you in the event of a claim being filed against you.
However, it is important to remember that not all public liability insurance policies are the same and the amount of cover you choose to get ought to be determined - among other things - by the size of your company and how big a risk your operations pose to members of the public. You can get policies that provide you with £1 million of protection, although policies of as much £5 million are available.
You should also bear in mind the need to get employers' liability insurance. Even if you only have one member of staff working for you, this cover is a legal obligation, and regardless of the size of your company or its turnover you are required to have a minimum of £5 million of cover in place.
Put simply, this particular kind of insurance protects you in the event that an employee becomes ill or suffers an injury at work. As workers may be entitled to claim compensation from you, these offer vital financial protection and means such costs won't have to be met directly from your company's bottom line.
Indeed, if you are found to be operating without this cover in place, you may be subject to a fine of £2,500 for each day that you do not have it, costs which could put your company into jeopardy.
Should your firm manufacture and/or sells goods, you should also give particular consideration to getting product liability cover. This can be easily incorporated into the majority of policies - often at no extra cost - so it may prove to be well worth your while to make sure that it is incorporated into your cover.
Such cover can be particularly useful if a customer attempts to file for compensation against you after damage suffered to your home following the misuse of one your products. Provided you have this insurance in place and are able to prove that you gave consumers adequate safety instructions and warnings about mishandling of your goods, you should be covered.
Although the sheer range of policies you can choose from can make the process of getting liability insurance is a difficult one, by enlisting the services of a reputable company - such as ConstructaQuote.com - you can be confident of finding something that will provide the exact protection that you need.