Public liability insurance is an older form of general liability insurance. It covers the cost of liability claims made by the general public for mishaps that happen in connection with your business.
Public liability insurance refers to business insurance that covers claims by the general public for medical expenses and other costs resulting from injuries, death, and property damage involving your business. The general public includes current or potential customers, delivery personnel, other visitors, and people who work or live near your business.
Public liability protection falls under commercial general liability insurance. Often bundled with business property insurance, it is also included in a package called business owner's policy (BOP).
You may also see it called premises liability insurance, which covers third-party accidents specifically on your business property.
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Public liability insurance covers the cost of third-party injury and damage claims attributed to your business. This includes incidents at your business and locations related to your work, such as a client's home.
Should a customer or member of the pubic get injured or on your property, your policy would cover the cost of bodily injuries, property damage, and legal costs for any related lawsuits, within your policy limits, after you meet your deductible. It would also cover accidents caused by yourself or an employee while visiting a customer’s property.
Public liability insurance does not cover injuries or damages that happen to yourself, your business, or your employees.
General liability insurance includes public liability insurance, and costs an average of $42 per month.
Any business that interacts with clients, customers, and other members of the public should consider public liability insurance, now offered as general liability insurance.
If a client suffers a slip-and-fall injury at your workplace, or if you or your employee damages a customer’s property, it could lead to expensive medical bills or repair costs, or even a lawsuit. General liability insurance can help reduce the financial impact on your business.
General liability coverage is especially important for businesses that regularly deal with the public, whether it’s on-site at your location, a client’s business, or at someone’s home. It's also important for public speakers, musicians, and entertainers who perform in front of an audience.
Even if you conduct business online, you'd still benefit from public liability coverage since you interact with people when receiving deliveries or picking up supplies.
