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Our Essential Guide to Liability Insurance

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What Public Liability Insurance Covers

Public liability and product liability insurance covers you for compensation claims from customers or the public that have come about due to the actions of your New Zealand business. It’s there for your business when you find yourself on the wrong end of a compensation claim.

If someone is injured or their property is damaged and your business is found legally liable for that, it’s general liability insurance (puplic liability and product liability) that will cover your business if you have a claim made against you. This liability insurance cover also protects your business against injury to your customers and damage to their property as a result of a product you sell or supply. People injured by defective products may have the right to sue for damages and your New Zealand business may have to compensate them.

Your business is not legally required to purchase public liability insurance or product liability insurance but not having it will expose you and your business to expensive claims. Even if you do not have to pay a claim, costs that will be incurred in defending your small business are likely to be very expensive.


Does My Business Need Public Liability Insurance?

Every business could face a compensation claim. It doesn’t matter if your business is based in Auckland or Christchurch or anywhere else in New Zealand, public liability insurance is considered a must-have type of insurance.

But when accidents happen you want to put right what’s gone wrong as quickly as possible. If a client visits your shop or office and they damage their belongings or are unable to return to work because of an accident on your premises, you could face a liability insurance claim that could cost your business tens of thousands of dollars. If they leave their goods with your business for repair and they are damaged while in your care, your customer may seek damages. Without liability insurance, the cost to cover a claim would come directly from your business. For small businesses anywhere in New Zealand, this cost could put you out of business.


Where Can I Buy Public Liability Insurance?

Insure Online offers public and product liability insurance online where you can get a liability quote and buy securely through our website. It can be purchased as a standalone cover or as part of a business insurance package with covers that are popular with small businesses. Our liability insurance product provides flexible options, including three different levels of cover.

You can easily get a public liability quote in less than ten minutes. Our secure payment service allows you to pay online and we email your liability insurance documents and tax invoice to you immediately. You’re covered as soon as we send you your business liability insurance documents. All it takes is 10 minutes from start to finish.


How Much Does Public Liability Insurance Cost?

Insure Online’s public liability insurance provides a minimum $2m of cover per annum. Our quotes are based on three factors – the type of business you have, your annual revenue and how much public liability insurance cover you want to purchase.

As an example, a florist or stationery shop with annual revenue of up to $500,000 can pay as little as $270 plus GST for $2m of public liability insurance for a whole year. For a small additional premium, public liability insurance cover can be increased to $5m or $10m. We don’t charge any hidden fees in our quotes. Our public liability and product liability insurance product is backed by QBE Insurance, who have insured New Zealand’s businesses since 1890.


I Need Proof That I Have Public Liability Insurance

If your business repairs or installs products or undertakes contract work your client is likely to ask for proof of public liability insurance cover. It’s not an unusual request. You will need to provide them with a Certificate of Insurance as proof that your business is covered. A Certificate of Insurance is a document that sets out the type of insurance cover you hold, the start and expiry dates of your public and product liability cover and the amount of insurance you have purchased.

Customers of Insure Online can log in to our secure website to obtain a Certificate of Insurance. We email the Certificate of Insurance