When it comes to the protection of your business, Liability Insurance is essential. This form of insurance is able to defend against financial impact due to claims of responsibility for serious accidents, helping to ease the stress of these situations.
While insurance is the best form of protection should an event such as this arise, there are also steps that can be taken to avoid them occurring in the first place. Learn more about the most common liability claims that are made, and what you can do to prevent them from happening within your business.
1. Slip & fall accidents
One of the most common types of liability claims includes those related to slip & fall accidents. These types of incidents are generally caused by customers, clients or members of the public slipping and falling on business premises.
To avoid such claims, it is important to maintain a clean and safe environment either on the property or while carrying out business-related tasks away from commercial property. It is recommended that you clear any hazards, adopt proper lighting, and conduct regular checks for faults and repairs when necessary. You should also ensure contractors have the appropriate Insurance arrangements in place to cover these claims.
2. Product Liability
These claims arise when a product your are liable for causes injury or harm to a user. This can be avoided by ensuring that any products are created in line with regulations and standards. Carrying out regular reviews is also important to maintain product quality, as well as adopting local representation for prudent risk management.
It is critical that any products that have failed or are potentially unfit for their intended purpose are discontinued. Product Liability Insurance will assist in preventing loss should these claims occur.
3. Professional negligence
Claims associated with professional negligence occur when a customer or client alleges you have provided inadequate advice, or when there are errors or omissions in the service you are offering.
Good risk management for such situations includes ensuring the business provides high-quality services, and upholds regular training of employees to maintain professionalism. You should also stay up-to-date with industry trends and developments, and carry Professional Liability Insurance.
4. Property damage
These claims arise when the business is found to be responsible for damage to third party property. In order to prevent these from occurring, it is recommended that you are careful when operating equipment or vehicles near the property of others, as well as ensure employees are trained in accident prevention.
You should ensure there is adequate supervision of business activities and identify potential hazards in advance.
5. Commercial Liability
Advertising injury claims arise when advertising causes harm via misrepresentation of products and services, or trademark infringements.
To avoid this you should ensure that you are only promoting truthful, accurate information, and maintain an awareness of other company trademarks. Commercial Liability Insurance is also imperative to assist in the event of advertising injury claims.
6. Bodily injury
According to State Law Group, bodily injury claims are commonly made in a public liability case. This occurs when a customer or client becomes injured on business premises, or due to negligence in conjunction with business activities. Training employees of safety protocols, ensuring premises are hazard free and that adequate signage and induction processes are in place will assist in prevention of these claims.
7. Libel & slander claims
Libel & slander claims arise due to false or damaging statements of others. Avoid these claims by eliminating any negative or defamatory comments towards others, and making sure all statements are true and sources validated where necessary.
8. Cyber Liability claims
Data breach claims arise when sensitive data within the business is compromised. It is important to implement strong security measures and train employees to recognise threats. You should also ensure that firewalls and other methods of protection are maintained and kept up to date.
It is recommended that you are aware of notifiable data breach legislation, and have the appropriate policies and protocols in place in case this scenario does arise. Cyber Liability Insurance will also assist in the event of data breach claims.
Comprehensive Liability Insurance coverage with Atlantic Insurance
While taking appropriate preventative measures against risks is a great way to avoid claims, comprehensive Business Liability Insurance is essential to protect your business should any claims arise.
At Atlantic Insurance, we offer competitive policies as well as tailored advice and risk management knowledge to ensure your business has the necessary protection. Contact us to speak with our experienced Client Managers.
Any information contained on this page of the website is general advice only and has been prepared without taking into account your objectives, financial situation or needs. Your should consider these, having regard to the appropriateness of this advice and the relevant Product Disclosure Statement (‘PDS’), Target Market Determination (‘TMD’) and Financial Services Guide (‘FSG’), which will be provided following any formal recommendation to you.
