What does Public Liability Insurance cover?
This type of insurance is designed to protect business owners against claims that result in legal proceedings. A good policy will cover the cost of legal expenses, including any compensation the business is required to pay. Although not legally required for business, some trading authorities and end clients may require you to hold PLI cover if your business is pitching for work. Having adequate PLI cover is often seen as a hallmark of a reputable business.
The benefits to contractors, freelancers and other businesses of having adequate PLI in place include the obvious peace of mind of knowing any accidental damage or injury caused whilst working would not be business-ending or have a devastating financial outcome. PayStream receives a number of queries from our clients about PLI and here are a few examples of what we’re commonly asked: