What is the difference between Personal and Public Liability Insurance?
The market is awash with insurance products so it can be easy to get confused over the differences, and sometimes, you can even get specific policies mixed up entirely.
One common mix-up in the trade insurance industry is whether you need Public Liability Insurance or Personal Liability Insurance. Let us explain the difference and help you with which cover you need for your business.
Public Liability Insurance in 2 minutes
Public Liability Insurance is your building block to business insurance success. It protects you if a member of the public, a customer, client or supplier suffers an injury or accidental death or any damage to their property because of the work you are undertaking.
This insurance will protect you if you face legal expenses or need to make a claim. This will be up to your chosen level of cover taken out.
Public Liability Insurance is there to keep you and your business safe and secure in case of an accident. And we all know working in the trades comes with various hazards that could end in disaster. Having the correct type of insurance will help you rest easy and simply give you peace of mind. Forget Horlicks. Having Rhino’s Public Liability Insurance is what you want!
Do you need it?
We cannot believe we have to write that sentence but, the simple matter of fact is you don’t actually need Public Liability Insurance under UK law.
That being said, not only does Public Liability Insurance protect your business should an accident happen and you need to make a claim, but it also adds prestige that appeals to new customers, suppliers and contractors. Without the right level of Public Liability Insurance, many clients simply won’t allow you on site as they will see you as a major risk!
Not only that, if you work for any local councils or want to be accredited by bodies/ associations related to your trade, they most likely will request proof of insurance. It’s because of this and the fact that it protects you from any damage or injury caused that it’s the foundation that all trade insurance policies stem from.
Taking your policy out with Rhino Trade Insurance couldn’t be easier. We don’t ask loads of daft questions. We get straight to brass taxes and get you a quote in less than 60 seconds. Our policies start at just £6.07 and can be taken out with either £1 million, £2 million or £5 million worth of cover.
What is Personal Liability Insurance?
So What is Personal Liability Insurance? Well, in the UK, this isn’t a popular insurance product. However, some people still get it mixed up and wonder if they need this or Public Liability Insurance when shopping around.
Personal Liability Insurance is there to protect you and your family members in case you are held responsible for any injuries or damage to a third party. This type of insurance will cover you for any legal costs and pays for any damages owed.
It generally comes down to a couple of factors whether you need this insurance or not. To get an idea, you will need to consider your employment status, the industry you work in and whether the country you live in requires it.
The differences between the two?
Personal Liability Insurance will cover anyone for injury or damage that results in a claim made against you by a third-party individual. This is the defining term. It is a claim AGAINST YOU. For example, if someone comes into your home, trips and breaks their arm, it will be you personally that foots the bill. Likewise, if you visited a local business and caused some type of damage, whether intentionally or not, they could claim against you personally.
Public Liability Insurance is the commercial version of this insurance. It covers YOUR BUSINESS. So if you cause injury or damage whilst working, it will be your business that needs to pay out. This is the clear distinction between the two, and as we say, Personal Liability Insurance isn’t very popular in the UK, so you shouldn’t worry about it as a tradesperson.
Why Choose Rhino Trade Insurance?
Whether you spend your day rewiring homes, fitting pipes, mending gutters, building walls or installing french doors. We have a tailored policy just for you. We are, on average, 40% cheaper than most other trade insurance brokers and can offer protection for your business, income, tools, van, and more.
Our lovely UK team are based in the charming city of Leicester and is ready to take your calls six days a week. Our number is 0116 243 7904. Alternatively, it is the 21st century, so we created a wonderful and easy-to-use online quote system that will take less than a minute to give you a quote. Try it now.