Liability Insurance - Are there different levels of cover available?

Liability Insurance - Are there different levels of cover available?

There are many different levels of liability insurance and many different types depending on the size of your business and the nature of your business, generally speaking you can decide what limits if indemnity you require, of course we can help you with that choice. If you work for local authorities, blue chip companies or any other particularly “protection conscious” firm then they may insist on much higher levels of cover to indemnify them and you against larger potential losses.

While you are researching and hearing about liability insurance and all the other types of insurance there are such as public liability insurance, employers insurance, products liability cover and so on, you may feel a little overwhelmed with it all. Many insurance companies offer policies that cover all the necessary insurances you will need depending on the type and size of your business as a package.

For example you may have a shop selling childrens toys, you employ two staff members, and your turnover is £350,000 per annum, on average. The insurance company will recommend a policy that includes Employers liability insurance, Public liability insurance, Product liability insurance, which covers legal costs of £x amount and so on. It is still in your best interest to learn as much as you can about these subjects to ensure your business is fully covered.

The different levels of liability insurance are usually dependent upon your nature of business and the size of your organisation. Quite simply, if you are a family business working from home your requirements will be different from a large blue chip international company.

Generally the aspects of how one liability insurance cover will differ to the next will include the level of cover, the excess, exclusions, working abroad etc. The level of cover can vary from anything of £5million and upwards.

The excess is the amount you have to pay in order to make a claim this can vary from insurer to insurer anything from £100 and upwards. Exclusions involve activities that are not covered within your policy such as working abroad, Your insurance is not commonly active if you work manually outside the UK unless stated otherwise in your policy.

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