Cost and Importance of Public Liability Insurance
The average cost of PL insurance is £118 for a small business in the UK, ranging from £50 to over £450 or even thousands of pounds a year for certain businesses. Liability insurance can be extremely important for businesses of all sizes in the UK, as there are many areas in which a business could find themselves liable.
Factors Affecting Liability Insurance Cost
When assessing the cost factors to consider include: the type of business, the amount the company is willing to spend, the agent’s age and experience.
Coverage and Benefits of Public Liability Insurance
Public Liability covers compensation for injury or accident to a third-party persons or property as a result of your negligence. Small business public liability insurance provides financial protection when a business injures a third party.
Small Business Insurance Cost Factors
The cost of small business insurance can range from hundreds to thousands of pounds per year, depending on factors like: number of policies, level of coverage, company size, industry risks, claims history.
Liability Coverage Recommendations
While each small business is unique, insurance carriers have recommended that small businesses in California carry at least $500,000–$1,000,000 in commercial liability insurance to cover bodily injury, personal injury, advertising injury, and legal defense and judgments.
Minimum Public Liability Insurance
The minimum public liability insurance typically offered is a £1 million limit. However, most businesses or organisations will typically purchase a minimum of £5 million or £10 million limit. Public liability insurance covers the cost of legal action and compensation claims made against your business if a member of the public is harmed or injured when visiting your premises.