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Business Liability Insurance

Business can be of different types. Each country has its own rules for business. United Kingdom has made Business Liability Insurance mandatory. In this business in this business insurance are various types. They are product liability insurance, public liability insurance, vat investigation insurance, and professional indemnity insurance.

Product Liability Insurance: This is for protection against damage or injury caused due to the product supplied by the company. This insurance is not applicable if the company becomes insolvent. Otherwise the injured third party can claim for the damages.

Public Liability Insurance: Compensation paid to the public (third party) towards injury or damage caused due to the business activity.

Professional Indemnity Insurance: This is applicable to business which acts in professional capacity. It protects the employer against claims for any damages caused due to services rendered.

Every business has responsibility not only toward its customers but also employees and general public. Injury to anyone of the above makes the company liable to pay for the damage caused due to negligence on your part or on part of your employees.

Every Business is required to follow the duties set out by Health and safety at work Act 1974 and its regulations. The health and safety needs are understood by carrying out a risk assessment and then measures are taken to control or prevent the risk by following the legal requirements. With every change in the process, the risks should be reassessed and appropriate measures should be taken.

Even after stringent precautionary measures accidents happen then the liability insurance helps to pay towards the court fees, penalties, cost and expenses claimed by the injured. All these are subject to policy limits. Sometimes the claim may also be towards hospital treatment for personal injury.

Employee liability compulsory insurance helps to pay compensation to employee for any bodily injury or disease caused due to their employment. This helps both employers and employee due to the fact that employees get the payment even after the firms are dissolved; employers on the other hand are saved from financial hurdles faced for payment of huge compensation.

The companies that provide Business Liability Insurance in United Kingdom are AXA Insurance, Lloyds TSB and Direct line.

AXA offers covers in the form of professional insurance, tradesman insurance, van insurance, healthcare insurance, hotel insurance, shop insurance, restaurant insurance, office insurance, pub and wine bar insurance, surgery insurance and working from home insurance.

Lloyds TSB offers insurance for contractors, shops, home workers, officer and commercial vans.

Direct line offers Business Insurance to tradesman, shops and van insurance.

With the various types of insurance available to protect business from any type of risk it faces it looks rather easy to run a business in United Kingdom. Explore and enhance your knowledge or insurance to improve your business.