While many business owners may not realise it, their companies run the risk of potential litigation every day. One of the most common types of litigation faced by businesses is that of damages claims brought by members of the public for injury to person or property due to negligence. In the case of either of these scenarios, the business would be held liable for all damages and other costs.
While this may seem like scaremongering, public liability claims are a massive issue for businesses: last year alone saw over £5 billion in public liability claims payouts. If you are not protected by public liability insurance, your business will be solely responsible for meeting the costs of these claims. Thus, it is clearly an area businesses need to be looking into very closely, as the financial burdens of having to meet public liability claims puts companies, both start-ups and established names, out of business every year.
This applies to virtually every type of business, albeit for different reasons. For example, if your business involves a significant degree of interaction with the general public on the actual premises itself – for example a shop or a café – you will be primarily at risk of a claim resulting from an injury sustained by a customer while on the premises; such as a fall resulting from a slippery floor surface. This would leave your business liable to a damages claim made by the customer on the grounds of negligence. With the proliferation of law companies specialising in these kinds of claims and offering ‘no win, no fee’ services, it can be extremely difficult for businesses if they are found to have been negligent. For the owners of smaller businesses, this can lead to the loss of the business and other assets. Fortunately, major insurance companies such as Endsleigh, offer public liability cover at competitive rates. Quotations can generally be secured for free either by phone or via company websites, such as Endsleigh.co.uk.
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