Public liability insurance – to hedge basic risks

The public liability is a special form of liability insurance. Liability means that you have to acknowledge damage. Many laws, the so-called “liability standards”, regulate when the conditions for liability are met. A public liability is intended primarily for companies, but also freelancers or craftsmen can use such insurance.

Benefits of the public liability

A public liability insurance covers the claims for damages of third parties. This includes the examination of whether the claims for damages are justified or the defense against unjustified claims. However, the insurance cover covers only claims for damages. The fulfillment of contractual obligations or promises, however, are not covered by the public liability. An employer’s liability insurance covers all persons who manage the relevant branch and all employees during the course of their business activities. The insurance benefits do not include any claims made to employees or co-insured persons.

Editorial Tip

As an entrepreneur, you can protect your company and your employees with a public liability insurance, for example. If you act as a manager you are also liable in certain situations. Here is about a D & O insurance to protect you from the financial consequences of a wrong decision.

Public liability insurance – What damages are insured?

Personal injury: A roofer does not properly secure his workplace and a pedestrian is injured by falling debris. Here comes the public liability for medical expenses and compensation.

Property damage: A heating engineer does not properly repair a gasket, causing water damage in the customer’s home. The business liability insurance covers all repair and replacement costs of the damaged inventory.

Property damage as a result of personal injury and property damage: In a restaurant, a customer suffers from food poisoning. The customer’s employer asserts claims for damages because of the financial inability of the employee due to his inability to work. Again, the public liability.

Special conditions of public liability

Generally in the liability insurance the principle of the specialty applies. It must therefore be noted that only the legal relationships and characteristics covered by the insurance cover that you as the policyholder and the insurer have contractually agreed. For all liability insurance there is a general conditional work – the “general liability conditions”. In the case of public liability, these conditions are often replaced by industry-specific “Special Conditions”. Mostly, however, this happens in your favor.

Public liability in agriculture

In various industries, there are very different demands on insurance coverage. A good example of this is the liability of a farm. Because damage here can quickly threaten the existence of the farmer. Liability risks include livestock damage, such as when animals belonging to the yard break out and cause an accident, but also environmental risks that have to be covered or the legal liability of an agricultural holding. Here protects you the agricultural liability insurance, a special form of public liability insurance.

Business liability insurance for the catering trade

As the owner of a restaurant, snack bar or bar, you are exposed to many liability risks. If a customer injures himself in your premises, you can be held liable in the same way as in the case of food poisoning, property damage to rooms or buildings rented by you or, for example, when you unload fresh food. The business liability insurance covers property, personal and financial losses.

Public liability insurance for freelancers and artists

Freelancers usually do not need a public liability insurance but a professional liability to protect themselves from claims for damages. However, since there are no standardized contracts for these forms of insurance and insurance benefits and premiums are individually negotiated, many insurers group together both policies in a single policy. It is therefore important to you that the insurance contract covers all potential risks of your activity. This also applies to artists who also cause damage and can be held liable for the costs incurred.

Super Saver

For some entrepreneurs, a public liability insurance is not enough to protect themselves optimally. Combined offers such as a professional liability insurance or various company insurance policies may be cheaper than several individual contracts.


How high the insurance premium and thus the cost of a good public liability insurance, depends on many factors. Thus, the size of the company, the sector, the number of employees, but also the presence of company buildings or office space are taken into account, both in calculating the necessary coverage and the insurance premiums. An individual adaptation is the basis for any public liability, because every company is unique.

Online comparison

With many insurance companies it is possible to compare the different rates online. However, since the public liability insurance is tailored to the needs of each company, you can make no blanket comparisons. For this we offer you the contact to an independent expert. This can determine based on your insurance needs, which tariff suits you best and is still cheap. Take advantage now of this free and non-binding offer! In addition, there are other insurance types in the field of commercial insurance that can be enormously important to you. Let us advise you now.

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