Everyone in business knows the importance of having the support of a good quality commercial combined insurance policy. These policies cover all types of risk and you can pick and choose the cover you need. For example, if you don’t move stock around in your own car or van, then you don’t need goods in transit insurance.
Within a combined policy, you will also have a section of cover for business liability insurance, but what, in summary does this mean?
A basic dictionary definition of liability is “the state of being liable”. If I throw a brick through your car window, apart from being offensive, dangerous and stupid, I am also liable for the damage caused. Proof is of course another thing.
Businesses can be liable, usually at common law, for many many things. Injuring employees, damaging third party property, causing illness to third parties and contractual liability are just a few examples.
To protect themselves, businesses can pay someone else to deal with any claims that are made against them where they are liable and to pay any compensation due. The payment is the insurance premium and the “someone else” is an insurance company.
The best way to find out what your liabilities are likely to be and whether you can buy cover against them is to speak to an insurance broker. They will listen to your requirements and, based on your demands and needs, provide you with a quotation (a written offer) for you to place these liabilities to a third party through the purchase of an insurance policy.