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For businesses based in Auckland or operating in the city there are a number of different forms of insurance required, but the most common is public liability insurance.

Public liability insurance helps to protect businesses of many different types in Auckland by insuring them against the financial consequences of property damage or personal injury. Many businesses would not survive such an event without the right cover in place.

Public Liability Requirements in Auckland

In most cases the requirements for Auckland businesses to hold public liability insurance are no different the requirements for other cities in New Zealand, however there are a few minor differences depending on the type of business.

Businesses based in Auckland also need to consider the public liability insurance requirements of any other areas that they operate in.

What is Public Liability Insurance?

Public liability was designed to protect businesses from the financial consequences of property damage and personal injury caused by the business to a third party. Accidental death is also covered under the policy.

It is important to understand that public liability insurance only covers you for loss or damaged to outside parties. It does not cover damage to your own property or that of your staff, nor does it cover personal injury or death to yourself or in many cases your staff.

Where you are responsible for damages relating to someone else’s financial loss, your insurance policy may cover the costs of the claim provided that it meets the guidelines of your chosen policy. You should refer to the policy wording to ensure the chosen policy meets all of your needs before proceeding with the cover.

Public Liability Cost in Auckland

Generally the cost of public liability insurance for businesses in Auckland is similar to the other cities, however there are a few exceptions. In some cases the cost may be higher or lower depending on the insurer’s claims history in the area.

The type and size of your business will also have a major impact on your public liability insurance cost, however this is generally not impacted by the city you are based in.

Public Liability Insurance Quotes

Businesses located in NZ can obtain quotes on public liability insurance from a variety of sources.

In years gone by many business owners dealt with local insurance agents or brokers, but today a growing number of businesses are using the internet to find the best quotes for their public liability insurance.

Here at Public Liability Insurance New Zealand we aim to assist businesses in Auckland and all over NZ by locating the best quotes available for their needs. This is made possible via our network of insurance experts located around the country.

If you would like to obtain a public liability insurance online quote we can certainly assist. Simply complete our online quote form and you will receive your quotes via email or phone depending on your preference.

For more information on public liability please follow the links on our website or contact us to be put in contact with an insurance professional.

If you’ve ever dealt with an insurance broker for your business cover, you may have heard of the term ‘underwriting agency’.

So what is an underwriting agency, and what do they have to do with your public liability and other forms of business insurance?

In this guide we won’t go into all the boring details, but instead we’ll give business owners a quick overview of what these agencies are and what they do.

What are they?

An underwriting agency is not an insurance company. They are instead organisations which sit in between the insurance companies and insurance brokers to help businesses get the cover they need.

Generally an underwriting agency will specialise in a smaller number of areas and industries than a traditional insurance company, however this allows them to have a deeper knowledge and understanding of those selected industries.

Why are they used?

If you operate a fairly mainstream type of business you will generally have no problem in obtaining public liability insurance through one of the big insurers.

But if you run a business which operates in areas considered by the insurers to be high risk, then you may find that none of the big insurers will want to deal with you.

This is where the underwriting agencies come in. They work with the big (and small) insurance companies to put together packages to suit some of these ‘hard to insure’ businesses.

For example most of the mainstream insurers will not cover businesses working at heights exceeding 10 or 15m, but a number of underwriting agencies have been able to put together policies to suit these businesses.

Are They Safe?

The insurance policies issues by underwriting agencies should always be backed by an APRA regulated insurance company. This means that they have met the requirements set by the Government authority responsible for insurance and financial institutions.

If your broker recommends a policy which has been written via an underwriting agency, you should ask your insurer who the policy is ultimately with. In many cases you may not have heard of the underwriting agency, but you will have heard of the ultimate insurer.

There is generally no reason whatsoever to think that a policy provided by an underwriting agency will not be safe.

Should You Use an Underwriting Agency?

There is no good reason why you shouldn’t take out public liability or other forms of insurance through an underwriting agency, and in some cases it may be your only choice.

In some cases underwriting agencies will charge additional fees, but if you cannot obtain cover through a mainstream insurance company it is generally the best alternative.

For more information about using an underwriting agency for your business insurance needs speak to your broker or adviser. You can also check out the Underwriting Agencies Council website which contains some useful info.

Late last year we started looking at some of the personal forms of insurance to assist business owners.

In our first instalment for 2013 we will look at one of the most important yet underutilised forms of personal insurance available to business owners – trauma insurance.

Trauma insurance can provide major benefits to policyholders on a personal level, but it also has some benefits which are specific to business owners and partners.

Whilst we specialise in public liability insurance, we do believe it is important for business owners to know about all of the forms of protection available to them.

What Is Trauma Insurance?

Trauma cover is sometimes referred to as ‘life insurance for the living’. It is a form of insurance which is designed to help you in the event of critical illness or injury.

In the event of being diagnosed with a critical illness your trauma insurance policy will pay you a lump sum amount agreed to at the time you took out the policy.

The funds from your policy can be used to cover medical expenses, travel and accommodation costs, lost income and any other purpose you see fit.

There are dozens of conditions covered by trauma insurance, but the most commonly claimed upon conditions include cancer, heart attack and stroke.

Benefits for Business Owners

Whilst virtually anyone can benefit from trauma insurance, there are some benefits which are unique to business owners.

Let’s say a key person in your business was to suffer a critical illness or injury and was unable to work.

Obviously there would be financial and emotional strain on the employee and their family, but there can also be financial strain on your business if the person was a key part of your revenue and profit.

By putting together a key person insurance package which includes trauma cover, you can ensure that you business will also receive a payout which can replace lose revenue or cover the costs of replacing the key person for a period of time.

Trauma insurance can also be used as part of a buy-sell agreement between business owners. This can help to ensure that business succession issues are managed in the best way possible if a partner in the business was forced to leave the business as a result of a critical illness or injury.

How Much Insurance?

There is no scientific calculation which tells people how much trauma they should have, however plenty of insurance industry participants have their own ideas on how much cover is enough.

If you are insuring yourself personally, the amount of cover you take out may be linked to how much you are prepared to spend on premiums. From our experience, anywhere from $250,000 to $400,000 seems to be an average figure.

If you are insuring someone as part of a key-person or buy-sell arrangement you need to calculate how much money is going to be required in that specific situation. A financial adviser or accountant will be able to assist you with this.

More Information

Whilst trauma is technically a form of personal insurance, it can certainly be utilised in a way which makes it an important form of business insurance.

For more information about how you and your business could benefit from trauma insurance please contact your financial adviser.

Here at Public Liability Insurance Australia we have access to a team of qualified financial advisers who can assist, so you can also contact us if you’d like to be put in touch with an expert adviser.

When taking out public liability insurance you will most likely be asked whether or not you undertake any work involving welding, cutting or grinding etc.

Generally these are known as ‘hot works’.

Insurance policies treat hot work in one of two ways. Some policies exclude it all together, whilst other policies cover it subject to certain conditions.

In this guide we’ll take a look at the implications of hot works on insurance.

What is Hot Work?

Some insurance companies have different ideas on what should be considered as hot work, but generally it will include the following activities:

• Cutting
• Heating
• Welding
• Grinding

Basically any type of work which results in the generation of heat.

Work that involves heating appliances is not regarded as hot work unless your actual activities are generating heat.

For example if you install or maintain heaters, ovens, hotplates etc but do not undertake any cutting, heating, welding or grinding, then the work would not be considered to be ‘hot’.

When it comes to cutting, generally hot work involves cutting metal, steel or other materials that can generate significant heat during the cutting process.

Who is Affected?

The most commonly affected business types by this issue are boilermakers and welders, however potentially all trade businesses could be affected depending on their work activities.

Is Hot Work Covered?

Most public liability insurance policies will cover hot work, however virtually all policies will have special conditions or restrictions in place.

The most common condition is that all hot work is done in accordance with Australian Standard AS1674. This standard mainly relates to welding, but it is relevant to all hot works.

Some insurers take things a little further and have put in place additional conditions and specific precautions which must be undertaken, such as how far away the work must be undertaken from other flammable materials.

It’s important to keep in mind that a small number of insurers exclude hot works from their policies completely, so you need to check this if you are undertaking any such work.

More Information

If you do undertake any business activities involving heating, welding, cutting or grinding it is important to let your insurance broker about it.

Your insurance broker will then be able to discuss the ramifications with you and select an insurance policy that is best going to suit your needs.

Hot work doesn’t mean you can’t get insurance, but it is an important issue to consider before taking out a new policy or when reviewing your existing cover.

Insurance for Painters

If you’re a self-employed painter, one of the most important forms of insurance you need to consider is public liability.

Public liability insurance can protect a painter from a range of risks relating to property damage and personal injury, and in many cases it will be mandatory in order to enter a worksite.

In this guide we will take a looking at the various forms of insurance that painters can benefit from, with a particular focus on public liability cover.

What is Public Liability Insurance?

Public liability is a type of business insurance that protects owners in the event that the activities of their business result in property damage or personal injury to another person.

If another person such as a client or member of the public suffers a loss due to your negligence, you can be found liable for that loss and therefore financially responsible for it.

Usually this cost would need to be covered by you or your company (depending on your business structure), however with public liability insurance in place you can have the claim settled by the insurer instead.

Examples of Claims

For a painter there are dozens of different incidents that could result in a public liability claim. Some of these can be fairly minor, whilst others can be very serious in terms of the money involved.

The first example we will look at involves property damage. In this case a painter smashed a large pane of glass whilst carrying a ladder into a customer’s house.

The painter was found to be responsible for the damage, and his public liability policy covered the $1,400 cost of replacing the glass.

The second example involves personal injury. In this case a painter left some trestles in front of a customer’s front door. When the elderly occupant exited their house they tripped over the unsighted trestles and suffered serious injuries.

The painter was found to be responsible for the injuries as they had acted negligently in leaving the trestles in such a location without any type of visual warning.

Thankfully the customer’s sizable medical and rehabilitation costs were covered by the public liability insurer rather than coming out of the painter’s own funds.

Which Painters Need It?

Any painter who works for their own business or for others as a subcontractor should have public liability insurance.

Whilst the cover is not mandatory from a legal perspective for a painter, many building and construction companies will require that subcontractors have insurance in place before being allowed onto a worksite.

Painters Insurance Cost

For a sole trader working on painting projects no higher than ten metres the cost of the insurance will be very affordable, starting at around $450 for $5 million cover.

The public liability insurance cost can differ depending on a number of other factors however.

For example if you have multiple staff, high annual turnover, work at heights or in high risk locations, the cost of your insurance can be a little or a lot higher depending on the circumstances.

Other Forms of Cover

Although public liability is certainly the most common form of painters insurance, there are other forms of cover that should be considered.

General property insurance (commonly known as tool insurance) is very popular within painters, and can be included in a public liability policy for a small additional fee.

Self-employed painters should also consider income protection and life insurance. For these covers you should seek advice from a qualified financial adviser.

More Information

If you would like more information on painters insurance, or if you would like a to obtain a quote on your cover, you can get in contact with us via the contact form or our online quote request form.

Having the right insurance in place is important for any painting contractor or business owners, and if you do your homework you can protect yourself with quality cover at a affordable price.

Do you work at heights exceeding ten metres? If so, there are a few things you should know about when it comes to insurance.

Almost all insurers have limits in place when it comes to heights. Whilst this won’t impact upon most business types, it is of particular importance amongst tradespeople.

This guide will cover what workers need to know about working at heights and how it can affect their insurance.

How Is ‘Working At Heights’ Defined?

For most insurers, anything above ten metres is regarded as ‘working at heights’.

Generally speaking they are looking at the distance between you and the nearest solid floor.

Taking a high rise building as an example, if you were working inside of the building and there were no more than ten metres between you and the solid floor, there would be no issue.

However if you were on the outside of the building cleaning the windows, and there was more than ten metres between you and the ground (excluding any sort of work platform) it would be regarded as working at heights.

If you were working inside of the building, but were still more than ten metres above the ground (in a lobby for example) that would also be classed as working at heights.

When we talk about solid floor, we are generally referring to the ground or to a floor within a fully enclosed building. Scaffolding and other types of platforms are not regarding as a solid floor.

Why Do Heights Matter?

For many business types and occupations, working at heights can increase the risk of property damage or personal injury to either yourself or to other members of the public.

Because most insurers have restrictions on the heights they will cover, it is important that you tell them about the heights you work at. If you don’t, and you have to make a claim for an incident which has occurred at heights, you may find that your claim is denied.

Obtaining Insurance For Heights

The main type of business insurance that will be impacted upon by the height you work at will be your public liability. Income protection may also be affected, but that is a separate matter that is not covered in this guide.

Whilst almost all of the mainstream insurers will not cover work at heights exceeding ten metres, there are specialist insurers who are more than willing to assist.

If you do work at heights, it is simply a matter of telling your insurance broker about those heights. Your broker will then find an insurer who is able to offer you full cover for the work you do.

Policies covering work at heights will generally feature a higher insurance cost, but it is worth paying the extra so that you know you are properly protected, instead of risking it with an inadequate policy.

For more information about how working at heights may affect your insurance please contact your broker or insurer direct.

If you are looking for a new policy, please contact us on 1300 843 086 or complete our online quote request and we will refer you to a suitable insurance adviser for assistance.

There is one thing that many people want from their insurance other than protection, and that is a certificate of currency.

A certificate of currency is a document issued by the insurer or your insurance broker which confirms the details of your cover.

In this guide we’ll take a look at what purpose the certificate serves along with a number of other issues surrounding them.

What is a Certificate of Currency?

A business will often be asked for a certificate of currency to confirm that they have the right public liability in place. Commonly it will be requested by other businesses or government departments.

The certificate will confirm the details of your cover, and although the information can differ from one insurer to the next it will commonly include the following:

• The name of the insured person or business
• A brief description of the business activities covered
• The type of cover held
• The amount of cover held
• The start and finish date for the cover

In some cases the certificate may also include any endorsements or exclusions that apply to the policy, but this is not always the case.

Special Certificates

In some cases a special certificate of currency will be required. The most common example is that of Qld electrical contractors.

When applying for or renewing a Qld electrical contractors licence you need to provide the licensing department with a special certificate that is based on the approved government template.

If you require a special certificate it is important to check with the insurer or the broker upfront that they can provide one, as not all of them will be able to.

Certificate Issues

Unfortunately there is a growing problem (especially amongst tradesmen) to take out public liability insurance, and then to cancel the policy as soon as they receive their certificate of currency.

Because the certificate covers the full twelve month term, the person will then provide that certificate to everyone they deal with, and unfortunately there is no way for the other business to know that the person is not actually insured.

Thankfully it is very much the minority of people doing this, but many insurance brokers have found that it is a growing problem that they struggle to deal with.

As a result of this activity by some tradesmen, many brokers now refuse to deal with tradies unless they pay the full annual premium upfront.

Tradies and other people engaging in this activity need to know that what they are doing borders on fraudulent activity, as they are providing an insurance document to someone will full knowledge that no cover is actually in place.

Order a Certificate of Currency

If you have used the services of an insurance broker or adviser to arrange your public liability insurance, the best option is to contact them and request a certificate.

If you arranged your insurance directly through the insurance company, you will need to contact them directly to order the certificate.

Once you have a copy of your certificate it is a great idea to keep an extra copy for safe keeping. That way each time someone requests one you already have a copy ready to go.

There’s a lot of confusion out there on what is covered when it comes to personal injury.

Although this is too complex a subject to cover comprehensively in a single article, we will try to explain a few things and make it easier for business owners to understand.

If you have any specific example you’d like to discuss, the best option is to speak with your insurance adviser or the insurer directly.

Is Personal Injury Covered?

Personal injury is covered, and it is a major part of public liability insurance. What is more important is how personal injury is covered.

A public liability policy will cover personal injury suffered by another person where you or your business is found to be liable for that injury due to negligence.

If for example a member of the public tripped and injured themselves in a trench you had dug which was insufficiently marked, the policy would cover their costs.

Legal liability is a complex area, and whilst it is impossible to list examples of every possible claim, generally speaking you will be covered if you’ve tried to do the right thing, but through some form of negligence on you or your business’s part things have gone wrong.

Are Staff Covered?

There are two ways in which this question can be looked at. Firstly, are staff covered for injuries that they cause, and secondly, are staff covered for injuries that they suffer?

For the injuries that they suffer, no they would not be covered by your public liability policy. This is a risk that would be covered by a worker’s compensation policy.

For the injuries that they cause, yes they would be covered provided that the injury was caused due to negligence and occurred during normal business activities.

It’s important to keep in mind that to be covered under the company policy a worker must be an employee and not a subcontractor or other form of contractor.

What Costs Are Involved?

The costs involved in personal injury claim can range from a few thousand dollars through to millions of dollars.

The average claim for a broken arm or sprained wrist may extend to a few thousand dollars for medical costs and maybe a few days lost income, but in the case of death or serious disablement the costs can be enormous.

One such case which has been in the news recently is that of a young girl who was left severely disabled allegedly due to food poisoning.

In this case a judge ordered KFC to pay a total of $8 million to the young girl and her family.

Whilst this is an extreme case (and an extremely sad case) it does show that claims relating to personal injury can involve enormous sums of money that would send most businesses bankrupt without the right insurance in place.

Advice Warning

As we’ve already pointed out, legal liability can be a very complex area, especially when it comes to personal injury.

Although we’ve tried to ensure the information in this article is accurate, it is important that you do not take any action (or fail to take any action) based on this information without first seeking professional advice from a qualified person.

If you would like to discuss your cover or have any specific questions you should speak with your insurance adviser or contact your insurer directly. You can also refer to your product disclosure statement (PDS) and policy schedule for more information.

Public liability insurance for handymen

There are various forms of insurance available for handymen, but without doubt the most commonly required form of cover is public liability.

In this guide we’ll take a look at what this form of insurance covers, which handymen need it, how you can benefit from it and how much it will cost you.

What Is Public Liability?

Public liability is designed to protect a business owner financially in the event that through negligence they cause property damage or personal injury to another person.

If you are found liable for such an incident you will be responsible for a range of costs, which could range from a few hundred dollars through to a few million dollars.

A minor claim for a handyman could involve basic property damage, such as breaking a sliding glass door whilst walking through a house with a ladder. Although with an average excess of $250 for property damage, you would only claim if the amount was above the excess amount.

A more serious claim could involve personal injury or even death. For example you may have left a power cord laying across a hallway without taking the proper precautions, and someone has tripped over and injured themselves.

Personal injury claims can include all sorts of costs, such as medical and rehabilitation expenses, lost income and other forms of compensation.

A handyman can protect themself against such costs by ensuring they have the right public liability policy and coverage in place.

Which Handymen Need It?

Any handyman who works for himself will need to consider public liability. Whist it is not mandatory for all handymen, it will often be so if you undertake work for real estate agents or property managers.

If you work for a company on wages, and they cover expenses such as tax and workers compensation for you, generally you will be covered under their public liability cover.

If you have your own ABN, issue invoices and pay your own tax, then you will almost certainly not be covered by anyone else’s insurance and will need you own.

How Much Does It Cost?

The public liability insurance cost will depend on two main factors for a handyman. This includes the size of your business in terms of revenue and staff numbers, as well as the type of work you are undertaking.

Many handymen work for themselves as sole traders or one-person companies. In this case the cover will be very affordable provided that you’re not doing any ‘out of the ordinary’ types of work.

Whether or not you do any commercial work will also have an impact on the cost of your insurance. If you do residential work only the premiums will be quite low, but they can increase if you are doing work at any commercial or industrial premises.

The most accurate way to find out how much your public liability is going to cost is to request a quote. You can do this by selecting the amount of cover you require from the menu above, then following the prompts and entering the requested information.

For more information on public liability for handymen in Australia please contact us or your preferred insurance broker.

There are various options that can be chosen with a public liability policy, and one of the most common is general property cover.

General property cover allows you to cover various tools of trade against a range of risks including theft and various forms of damage.

In this guide we’ll take a look at what general property insurance covers, how much it costs and why you should consider this option for your business.

What Is General Property Cover?

Commonly referred to as tool insurance, the cover can be used to cover virtually any items in your business which could be considered as ‘tools of trade’.

The policies offered by each insurer will differ in terms of the specific coverage offered, but generally you will be covered for theft from a secure location, fire and storm damage, and damage caused in a vehicle collision or rollover.

Most policies offer portable cover, meaning that your property is covered wherever it is stored. There are requirements regarding security however, which we will touch on shortly.

If you do suffer a loss on your tools or equipment, the insurance company will cover the cost of repair or replacement depending on the situation.

Which Items Can Be Covered?

Virtually any property that is regarded as ‘tools of trade’ can be covered. For a tradesman the obvious items are their tools, and this is a very popular form ofinsurance for tradies.

For white collar workers their tools of trade may include their laptop and mobile phone, whilst for a cleaner it would be their cleaning equipment.

Items such as vehicles and trailers need to be covered separately and cannot be classed as general property.

How Is Theft Covered?

Theft is the most import form of cover for most business owners, but not all policies will automatically include theft, and even when they do the coverage can still differ.

Some policies cover theft only from a secure location, and for a successful claim to be made there must be evidence of forced entry used to gain access to the property.

There are some policies which offer an option for ‘open air’ cover of property. This basically means that the property will be covered regardless of how it is stored. Naturally this cover is more expensive.

Unfortunately some insurers do not include theft cover at all in their basic policies, and we have seen a situation where a broker was recommending this cover to tradies without knowing it didn’t cover theft.

The key point here is that you need to double check your policy documents to ensure that theft is covered, and to what extent it is covered.

Quotes

The cost of general property insurance will vary depending on three main factors, which include the type of business you run, the replacement value of your tools and the location where you or your business is based.

Here at Public Liability Insurance Australia we can assist you with quotes on general property insurance, but only when packaged with a public liability policy.

To obtain a quote simply visit our online quote form and one of the questions will ask you if you would like to include cover for tools or equipment insurance.

General property is undoubtedly one of the most common forms of cover taken with a public liability policy, and for the relatively low price it is a great value cover for your business.