What is Public Liability Insurance
Public liability insurance is designed to cover your business in the event that you are sued by a third party who feels that they have suffered a loss as a result of your negligence. It covers your legal liability to a third party. Even if you did not act negligently and subsequently no damages were awarded you could still have a large legal bill to pay. The policy covers all cost including legal defence and awards made against you.
How Expensive is it?
The basic and most important cover is Public Liability Insurance. Every tradesman needs this, even if there is a main contractor involved, actions can be taken against you regardless of your main contractor having cover. While public liability insurance is not a legal requirement, it is not very expensive and the price is relative to the size of your operation and the nature of risks for your specific trade. For instance a painter will pay a lot less than a building contractor. Premiums can start as little as €500 for a limit of €2.6m depending on your trade.
Do I need Public Liability Insurance?
Public liability insurance will not prevent claims from happening, it will however cover your business in the event that there is one. If you are a sole trader and not a limited company your personal assets could be exposed if you were proved to be negligent. Even if you always work for a maim contractor, it is often a stipulation in their insurance that you hold your own insurance, as their insurance would not cover damages that are a result of your negligence. Most actions also name multiple parties in a claim for damages, so insurance is important to protect yourself. Public liability insurance is available with the following limits of indemnity €1.3 Million, €2.6 Million & €6.5 Million which should be ample to protect you, although higher limits are available.
Why do I need to insure my employees?
Employers' liability insurance protects you against the cost of compensation claims arising from employee illness or injury, sustained as a result of their work for you. It is a legal requirement if your business employs one or more people, to have this cover in place. If you have any paid employee, apprentice, part-time unpaid family member or temporary labour you need Employers Liability Insurance.
What Risk Management should I have?
Examples of Risk management for tradesmen are having a proper Health & Safety Statement, Risk Assessments for sites, Manual Handling, Personal Protective Clothing, Proper induction, Machine Guards, Site Cleaning Protocols, Ongoing employee training, First Aid Measures, Suitable Security and Fire Protections. Each business is different and your requirements are different. Our team can help you think about what is appropriate for your business and direct you to specialist third party advice if necessary.