Public Liability Insurance is not legally compulsory for every Australian business.

Whether it is required depends on the:

• Business activities
• Location
• Licensing requirements
• Contracts
• Premises
• Projects involved

When can Public Liability Insurance be required? #

Requirements can arise through:

• Legislation
• Licensing or registration
• A commercial lease
• Client contracts
• Principal contracts
• Subcontractor agreements
• Government procurement
• Council permits
• Event or venue conditions
• Industry or professional association requirements

Working at a client’s premises or in a public area does not, by itself, make Public Liability Insurance legally compulsory.

However, the client, principal, property owner or relevant authority can require evidence of insurance before work commences.

What limit might be required? #

Contracts and other requirements commonly specify minimum limits such as:

• $10 million
• $20 million

However, there is no universal Public Liability limit suitable for every business.

The appropriate limit should also reflect:

• Business activities
• Contractual requirements
• Potential claim severity
• Industry
• Work locations

Contact our team if you need help determining the Public Liability requirements applying to your business.