Why do I need public liability insurance?
The compensation culture has well and truly hit the UK. With the general public becoming increasingly aware of the payouts they can receive, the entertainment and media industry needs to be prepared.
What is public liability insurance?
Public liability insurance provides cover should you or your company cause any injury or damage to a third party person or their property. This type of insurance is not compulsory by law (except in certain instances), but is essential to the running of any business.
In most cases, a minimum of £2 million cover is acceptable, however many organisations now require a minimum of £5 million cover to be able to work for them.
Will my business need it?
Many companies in the entertainment and media industry do not have public liability insurance, even though their work could potentially affect other persons. By not having a public liability policy, businesses are risking huge financial losses should a substantial claim occur. For example, if someone trips over a power cord from one of your appliances, you could be held liable if the person did make a claim. The costs could run into the thousands depending on the injury caused, and without public liability protection, you could be left paying the damages from your own pocket.
But it’s just an extra cost…
The best way of looking upon it is that the premium you are paying is not an unnecessary expense, it is a means of protecting yourself and your business should something go wrong for which you are held responsible.
Be aware
Public liability insurance is there to provide peace of mind. Along with a risk assessment and common sense, a policy performs an essential function for your business should the worst happen.
If you have any questions please contact your insurance provider or the Aon Entertainment and Media team on:
Tel: 0845 070 0387
Email: entertainment.media@ars.aon.co.uk
Web: www.entertainmentandmedia.aon.co.uk
*Source: Insurance Times, August 2007.