Public risk insurance
You are subject to the laws governing negligence toward anyone with whom you do business or who is on your premises. Negligence means lack of due care. When a court is persuaded that an injury was caused by lack of due care, it fixes an amount of damages that you have to pay to the injured party. When accidents occur on business premises, there is a strong presumption that negligence exists. There are several types of risks that can be covered by public risk insurance:
· Injuries to others while they are on your premises;
· Injuries to others from the use of motor vehicles or equipment from your premises;
· Damage to other people’s property.
· Injury or damage as a result of a purchaser’s use of your product or service
· Compensation for employees’ work-related injuries or sickness.
Failure to recognize the dangers of not carrying public risk insurance is one of the most serious errors you can make. One big claim could easily wipe you out. Most of the risks can be covered under a public risk insurance policy, sometimes referred to as a public liability or comprehensive liability policy. Some risks are excluded from general public risk policies and need to be insured separately. These include third-party motor vehicle insurance, product liability insurance and workers’ compensation insurance.
