Public liability insurance is a commercial type of insurance that offers protection from lawsuits that a customer or a third party might file against a business for causing personal injuries or damage to their property. For example, a company damages an expensive piece of furniture while renovating a customer’s house. The customer can sue the company for the cost of the furniture. Another example of public liability is when a customer slips and falls on the wet floor of a retail store and suffers an injury. In the case where the injury affects the customer’s daily routine, a lawsuit can be filed against the retail store, claiming damages.
Before purchasing public liability insurance, it is an excellent strategy to take the following measures to reduce the risk of facing a public liability.
- Develop a set of safety procedures and document them. An organised set of safety procedures reduces the risk of public liability and, in the event of any unfortunate incident resulting in the filing of a lawsuit, shows that the defendant has been taking appropriate measures to ensure public safety.
- Train your employees to follow the safety procedures effectively.
- Use equipment that is of the best available quality.
- Obtain a license to do a job that requires a license.
In spite of the best safety procedures, an incident can occur that leads to the filing of a public liability lawsuit. A public liability insurance policy that offers the best protection for the risks faced by your business will help build customer confidence. If anything unfortunate happens, the customer is assured that adequate compensation is available. Also the damages to be paid in a public liability lawsuit can be very high.
After any incident that requires the filing of a claim to obtain public liability insurance Singapore, notify the insurance company immediately. Contact the police if there is a possibility that a crime has occurred.
Provide the following documents as required to the insurance company while submitting the claim form:
- Incident report
- Police report
- Colour photographs of property that is damaged and the location where the incident took place.
- CCTV footage of the incident, if available
- Letter of intention to claim from the third party claimant.
- Writ of Summons
- If the damaged property has been repaired, the invoice from the repairing company.
It is crucial to remember not to admit any liability before obtaining the written consent of the insurance company. Avoid discussing anything related to liability with the third party without a legal representative.