Understanding public liability insurance for freelancers

Public liability insurance is an important thing for any freelancer to be aware about. Without it, if something goes wrong, you could be held responsible.

Understanding public liability insurance for freelancers. Photo of public in busy place.
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If you’re a freelancer, you’re probably used to wearing many hats – from doing the work itself to managing your finances. But have you ever considered protecting yourself and your business from unexpected mishaps? That’s where public liability insurance comes in. Let’s break it down into simple terms.

What is public liability insurance?

Public liability insurance is a type of insurance that provides coverage for freelancers and businesses. Protecting against claims made by third parties for injury or property damage. In other words, if someone gets hurt or their property is damaged because of your business activities, public liability insurance can help cover the costs of legal fees, and compensation.

Why do freelancers need it?

As a freelancer, you might think that because you work on your own, you don’t need to worry about public liability insurance. However, accidents can happen. Even in the smallest of businesses. Here’s why it’s important:

Protecting your finances: Without public liability insurance, you could be personally liable for any claims made against you. This means that you might have to pay for legal fees, compensation, and other costs out of your own pocket. It could be expensive.

Client requirement: Some clients may require you to have public liability insurance before they agree to work with you. This is especially common if you work in industries where there’s a higher risk of accidents. Or if you’ll be working on their premises.

Peace of mind: Having public liability insurance can give you peace of mind knowing that you’re protected if something goes wrong. Instead of worrying about the financial consequences of a claim, you can focus on doing your work and growing your business.

What does it cover?

Public liability insurance typically covers:

Third-party injury: If someone is injured because of your business activities, such as tripping over your equipment or slipping on a wet floor, public liability insurance can cover their medical expenses. Also, any compensation they’re entitled to.

Property damage: If you accidentally damage someone else’s property while working, such as spilling coffee on a client’s laptop or breaking a valuable item. Public liability insurance can cover the cost of repairs or replacements.

Legal costs: Public liability insurance can also cover the legal fees associated with defending yourself against a claim. This includes hiring a lawyer and court costs. Essentially, with public liability insurance, you’re not alone.

How much does it cost?

The cost of public liability insurance for freelancers can vary depending on factors. Such as; the nature of your work, your annual turnover, and the level of coverage you need. It’s important to shop around and compare quotes from different insurance providers to find a policy that suits your needs and budget.

Public liability insurance is an essential form of protection for freelancers, providing coverage for claims made against you for injury or property damage. By having the right insurance in place, you can protect your finances, meet client requirements, and have peace of mind knowing that you’re covered if something goes wrong.

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