Public Liability covers your legal liabilities in respect of claims made by third parties for property damage or injuries suffered arising out of your business activities (excluding items in your custody and control, i.e. customers’ goods). For example, if you or your removal porters damage flooring or walls whilst moving goods in to the new house, your Public Liability cover will respond. Also, if your customers injure themselves at your self storage facility, and you are found to be negligent, this cover would respond.
Products Liability provides cover for injuries sustained by customers from products you may provide or sell, such as packing materials. The risk is low but claims do occur occasionally. This type of cover is often provided, as standard, by your Public Liability insurers.
Property Owners’ Liability
This cover is highly recommended if you or your business own(s) your trading premises.
Property Owner’s Liability insurance can cover any costs and damages awarded to a third party if they suffer a bodily injury following an accident, illness or disease whilst on or linked to your premises. It can also cover legal expenses including solicitor’s fees and court costs plus the claimant’s expenses.
Cover would also be provided where you are deemed to have a liability where, for example, a fire at your premises causes injury to a third party or spreads causing damage to adjacent property. This is particularly relevant for properties located in residential areas and it would be recommended that an increased limit is purchased in these circumstances.
Public/Products/Property Owner’s Liability Limits
The limit of indemnity for this cover can be set at £1,000,000, £2,000,000, £5,000,000, £10,000,000 or higher, although typically £2,000,000 is the minimum cover purchased. Given the Ogden discount rate, we would recommend a minimum limit of £5,000,000 is purchased.
If you own a building which has any properties with adjoining walls, or neighbouring properties which are close by, we would recommend a minimum Property Owner’s Liability limit of £10,000,000 is purchased.