There is no single Public Liability limit suitable for every business.

The appropriate limit depends on the activities undertaken, potential claim severity and any contractual, licensing or other requirements.

What limits are commonly available? #

Common Public Liability limits in Australia include:

• $5 million
• $10 million
• $20 million

Higher limits can also be available or required for some businesses and projects.

What determines the appropriate limit? #

Factors can include:

• Type of work
• Work locations
• Project size
• Number of people potentially exposed
• Value of surrounding property
• Client contracts
• Principal contractor requirements
• Government requirements
• Lease requirements
• Licensing or industry requirements
• Potential severity of a claim

What if my contract specifies a limit? #

A client, head contractor, landlord or government organisation can require a minimum Public Liability limit.

That establishes a minimum requirement for that engagement, but it does not necessarily mean the same limit is appropriate for every exposure across the business.

Insurance requirements should ideally be reviewed before the contract is signed.

Higher limits, including $50 million in some circumstances, may be available depending on the occupation, risk and insurer appetite.

Contact our team if you need help reviewing a Public Liability limit or contractual insurance requirement.