If your business has contact with the public, you face various possible risks related to your services, like slip and fall incidents or accidental property damages. Public liability insurance covers the legal costs and settlements connected with lawsuits filed against your company.
Do You Need Public Liability Coverage?
Your specific needs depend on many factors. The type of services you provide, your interactions with people and your location are all factors that determine your unique requirements. This type of liability policy is more affordable than other professional insurance but has fewer protections.
Federal law does not require companies to obtain public liability plans. Still, this type of coverage shields owners from financial losses stemming from property damage or bodily injury claims on the company’s premises. Some industries that may benefit from public liability insurance include:
- Health care operations
- Nonprofit organizations
- Retail businesses
- Hospitality industry
- Real Estate companies
- Entertainment ventures
What Does a Public Liability Policy Cover?
This type of plan protects business owners who operate companies that work with the general populace. If someone sues your organization, this coverage pays for your legal fees, compensation amounts and settlement expenses. It covers suits resulting from the following type of third-party events that happen at your place of business:
- Personal injury claims
- Transportation costs to a health care facility
- Medical treatment
- Property damage
Unfortunately, accidents happen and could result in lawsuits filed against your business. Public liability insurance protects your company from possible monetary losses when cases arise.