Do you need public liability insurance for property maintenance?

Public liability insurance is an important consideration for businesses in property maintenance, offering protection against a range of potential risks and financial challenges.

What is public liability insurance?

Public liability insurance provides coverage against third-party claims for injuries or property damage arising from your business activities.

The insurance covers legal expenses and compensation costs that may arise from a successful claim made against you. If an unexpected incident occurs where you are forced by a court order to pay a claim, your business’ cashflow won’t be negatively affected.

Is public liability insurance legally required in the property maintenance industry?

While public liability insurance is not typically a legal requirement, it may be a contractual requirement. When entering a contract to provide services to a public sector organisation or large company, having public liability could be written into the agreement you have with them.

That aside, given the financial risk you may be exposing your business to by not having insurance, it makes sense to have appropriate cover from the outset.

How does public liability insurance contribute to your business’ reputation?

Having public liability insurance demonstrates professionalism, responsibility, and a commitment to the well-being of clients and the public. This can be a key factor in winning trust and securing contracts.

Does the need for public liability insurance differ if you’re not a sole trader?

The reasons for having public liability insurance remain the same, whether you're a sole trader or a larger property maintenance company. However, the scale of coverage and the associated costs may vary based on the size and nature of the business.

Larger businesses or those undertaking riskier projects may face higher premiums to account for increased potential liabilities.

Can public liability insurance be bundled with other types of insurance?

Insurers may offer public liability insurance as part of a business insurance bundle. This can provide cost savings and ensure comprehensive coverage, tailored to the specific needs of your business.

Other types of insurance that may be offered include:

• Employers’ liability insurance: Covers you for the costs of compensation, damages, and legal fees if an employee makes a successful claim for work-related injuries or illnesses.
• Professional indemnity insurance: Provides protection if a client claims for financial losses incurred due to negligent professional advice or services you offered.
• Accidental death cover: Provides financial support to family members if you die accidentally because of work-related activities.
• Tools insurance: Provides the money to ensure quick replacement of your tools if they are lost or stolen.
• Personal accident cover: Offers financial assistance if you suffer accidental injuries while working. It covers medical expenses or lost income while you are unable to work.

How can you ensure you have the right amount of public liability insurance coverage?

To ensure the right amount of coverage, property maintenance businesses should:

• assess the scale and nature of their operations.
• consider potential risks and liabilities.
• consult with experienced insurance providers to tailor coverage to their specific needs.