We all read the stories in the news about huge, multi-national companies being taken to court over seemingly ludicrous matters – “Coffee too hot”, “Peanuts in the peanut butter”, “Your fast-food made me obese” – and we all have a chuckle. Yet worryingly, especially if you own a business, many of these cases are actually won by the claimants, leading to huge payouts from the companies involved. What’s more, if the correct business liability insurance is not in place, the businesses involved are in serious trouble financially.
Yet it’s hard to know exactly what type of business liability insurance you need – cover and needs differ if you are a small to medium sized outfit, a large multi-national company or self-employed working out of your home. What remains true of all, however, is the need to have the right business liability insurance in place, especially as the liability environment in the UK becomes more complex.
Business Liability Insurance – Arm Yourself With Information
Business Liability Insurance is a legal requirement in the UK, but there are varying degrees of cover you can purchase. Smaller businesses often struggle to find insurance for their needs as they may not be able to afford all of the cover on offer under standard business liability policies, and they actually may not need all of the elements on offer under the policy – if you work from home, it can be even trickier to find a policy to suit your needs. It’s certainly worth doing some research to establish exactly what kind of business liability insurance you need and which company can best provide it – a search on the internet and insurance comparison sites can often be the best place to start.
Business liability insurance covers the cost of people connected with your business who may become ill or injured in some way – for example, as soon as you hire somebody, the law states you must have employer’s liability insurance, in place. Without this, you expose yourself to both breaking the law and potentially being sued by an employee if they are injured at work. Public liability insurance protects your business if a member of the public is injured in some way by your business or one of your employees, and professional indemnity insurance is worth considering if you have a business which offers members of the public advice in any way – if you make a mistake and are sued, your costs are covered.
Protect Your Business
To ensure your business is fully protected make sure you get reliable advice from the professionals and do your own research before committing to anything – after all you are the person who knows your business, and it’s needs, the best. When it comes to business liability insurance you cannot afford to be complacent – your livelihood could be at stake one day.