Public Liability Insurance explained
What is public liability insurance?
Public liability covers you for:
- Legal costs and expenses in defence of a claim
- Damages and compensation awarded against you
In the event of:
- Alleged injury to a third party
- Third party property damage
Why is public liability insurance important?
In our increasingly litigious society, public liability insurance is an absolute necessity for organisations involved in the provision of care, support and advice for disadvantaged or vulnerable people. That’s because there are a large number of ‘wrongful acts’ that can lead to a claim being made against you, ranging from a service user being injured to damage you cause to third party property.
Accidental injuries such as slips, trips and falls can lead to a soft tissue compensation claim. Depending on the severity, this could cost around £2,000 plus legal fees that can typically add another £5,000 to your costs; unless of course you have the right public liability insurance in place.
Some specialist insurance policies will include abuse cover as part of their public liability insurance. This is particularly important for care organisations and can protect against an incident, or alleged incident involving someone in your care that may occur during the period of cover.
What can go wrong?
Public liability insurance would protect your organisation in the following example scenarios:
Third party damage
A volunteer driver for a community transport organisation failed to adequately monitor a service user who then opened a car door into the path of an oncoming vehicle. The
community transport organisation was held responsible for the damage caused to both vehicles.
Injury to service user
A service user was sat in the rear of a car awaiting assistance when a volunteer inadvertently closed the car door onto their outstretched hand causing cuts and bruising.