Public Liability insurance in South Australia

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Last Updated 19/07/2024
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Last Updated 19/07/2024

What changed?

Significant rewrite.
Our aim is to help you make better informed decisions. That’s why iSelect’s content is produced in accordance with our fact-checking and editorial guidelines.

Reviewed by

Jane Mason

Find out more about how we make money.

View our Privacy Policy.

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How does Public Liability work in SA?
How will Public Liability insurance protect my business?
Who needs Public Liability insurance in SA?
What if one of my employees injures themselves at work?
How much does Public Liability insurance cost in SA?
What should I consider for my Public Liability insurance?
What other insurance products might be relevant?
Where can I find and compare Public Liability policies?

How does Public Liability work in SA?

Accidents happen, from a sneaky tin of beans making a leap from a shelf onto a customer’s shoulder to a client slipping on a wet floor just before you got the warning sign out. No one wants to see someone get injured or property damaged because of their business but sometimes these things happen.  

Thankfully, Public Liability insurance could protect you and your business should something happen to a third party. From customers and clients to suppliers and delivery people, and even someone walking across the property, Public Liability insurance could help if someone makes a claim for being injured or their property damaged because of your negligent business activities. In South Australia, Public Liability falls under the Civil Liability Act 1936 (SA), which dictates the compensation that can be awarded in an injury claim. 

If you have volunteers working for your business, they’re given special protection in South Australia. Even if a volunteer’s actions cause injury or damage to a third party, and your Public Liability insurance policy doesn’t cover them, they’re still protected by the Volunteers Protection Act 2001 (SA).  

How will Public Liability insurance protect my business? 

Public Liability insurance could financially protect you and your business in several ways: 

  • Injury claims. If injured — even psychological damage — you might be left with the bill for things like medical and first aid expenses, and lost income claimed by the third party as a result of the injury.
  • Property damage or loss. If that fresh tray of frog cakes falls on someone’s brand new laptop, you may have to pay to repair or replace it.
  • Legal costs. If someone claims against your business, you may need to find a lawyer and pay other court costs too.

There may be other ways Public Liability can protect you and your business, but this can vary between insurance providers and policies. Always read the policy wording or Policy Disclosure Statement (PDS) to give you a better idea as to how and when you’re covered. 

Who needs Public Liability insurance in SA?

For businesses operating in South Australia, Public Liability insurance isn’t required by law. 

That being said, it may be necessary in certain situations — not to mention probably just a good idea. Several councils mandate it if you’re performing work in public (and not just the pretending to be a statue kind). For instance, if you’re undertaking any kind of public-facing work in the City of Adelaide area (including surveys and petitions, like getting your favourite band not to snub South Australia again), the council requires you to have a certain amount of Public Liability cover.  

Even if your business doesn’t have to get Public Liability Insurance in South Australia, it could still be incredibly valuable. Lots of businesses could benefit from Public Liability Insurance, such as: 

  • Hospitality venues, including restaurants, cafes, pubs and bars
  • Wineries and cellar doors
  • Food and retail stores
  • Accommodation providers
  • Tour operators
  • Entertainment venues
  • Event planning businesses
  • Freelancers
  • Construction companies and tradespeople
  • Cleaners
  • Gardeners and landscapers
  • Healthcare providers, including medical centres
  • Beauty services, like hairdressers, manicurists and beauticians
  • Fitness centres and gyms
  • Real estate agencies 

If you run your business from home and have clients or customers visiting or if you visit your clients, Public Liability Insurance could absolutely be worth considering. It could give you some serious financial protection should an accident occur during someone’s visit, for example. 

What if one of my employees injures themselves at work?

Public Liability insurance doesn’t extend to your employees but that doesn’t mean they’re left to the wolves. They come under a totally different type of insurance known as Workers’ Compensation*. It protects them in case they have an accident or get sick because of work. 

In South Australia, Workers’ Compensation is mandatory if your business operates in the state or your business hires SA-based workers — even if you manage your business from elsewhere. You may also need it if you’re self-employed or hire independent contractors. 

If you’re not sure if you tick any of these boxes, you could reach out to your insurance provider or ReturnToWorkSA (the body that regulates workers’ compensation in SA).  

*BizCover does not currently offer Workers Compensation insurance. 

How much does Public Liability insurance cost in SA? 

A lot goes into deciding a Public Liability insurance premium, which is why no two businesses will likely pay the same rate. 

When your chosen insurer is putting together a price, they’ll consider: 

  • Your business size. The bigger your business, the more you may have to pay. This is because you’ve got greater exposure to potential claims.
  • Your industry. Some industries involve more risk than others. For example, a construction company might pay more than an accounting firm (but probably less than a crew tasked with corralling Humphrey B. Bear).
  • Your location. If there’s a large volume of claims in your area, your premiums could be higher. In South Australia, there’s also an 11% duty on insurance policies.
  • Other factors, including specific risks in your business or at your business premises, and your claims history.  

Costs also vary between insurance providers and policies. You might also have a choice of coverage limits, exclusions, features and add-ons which could affect your premiums, too. 

Helpful tips from BizCover

Don’t just set and forget your Public Liability insurance. According to the business insurance specialists at BizCover, a common mistake for businesses is failing to regularly review and adjust their cover.

As your business changes, whether through growth or relocation, your insurance needs may change too. Regularly updating your policy can ensure it continues to adequately cover your business from new risks as it grows.

Jane Mason

Former Head of Product, Channels & Risk at BizCover

What should I consider for my Public Liability insurance? 

There are lots of things to consider when choosing Public Liability Insurance, such as:  

  • Your coverage limit. This is the highest amount an insurance provider will pay. To minimise the chance you’re left footing the bill, you may want to think about the max limit your business could need.
  • Any exclusions. Certain things might not be covered by your Public Liability insurance policy. Knowing about them beforehand could help you avoid unexpected surprises and plan ahead to cover any gaps.
  • The price. It might be tempting to go for the cheapest option but a good mix of affordability and adequate coverage could mean more value.
  • The option to bundle with other policies. If your business also requires other types of insurance, such as Professional Indemnity or Product Liability insurance, you may be able to bundle these with your Public Liability insurance to lower the cost. 

What other insurance products might be relevant? 

Management Liability insurance

If you own a business, or if you’re involved in the management of a company, you could have specific responsibilities that could leave you open to being personally liable if you breach them. Management Liability insurance could protect you against the financial risk of claims, whether alleged or actual mismanagement has happened. 

Cyber Liability insurance

Cybercrime doesn’t always look like a scene from The Matrix nor does it only happen in fiction. With Cyber Liability insurance, you could cover your business against claims from a cybercrime incident, including the costs of data recovery, fines, crisis management costs and business disruptions caused.  

Tax Audit insurance

If you win the Australian Taxation Office (ATO) lottery and get picked for their next audit, Tax Audit insurance could cover your business’ costs for accountants and other professional fees incurred in the course of an ATO audit. 

Professional Indemnity insurance

Professional Indemnity insurance can protect your business against claims for damages resulting from incorrect advice (intentional or not), miscalculations or omissions while providing specialist services or advice to a client. 

If you’re thinking about changing your level of cover, the PDS could give you a better idea of policy inclusions, limitations and exclusions.

Where can I find and compare Public Liability policies? 

Not sure where to start? iSelect can help you compare a range of Public Liability insurance policies from a selection of providers. In partnership with BizCover, we’ve launched a useful comparison tool that measures up different policies to make it easier to tick this task off your to-do list.

Get started on comparing business insurance today!

We’ve partnered with BizCover to help you compare from a range of business insurance policies.

^As with any insurance, cover is subject to the terms, conditions and exclusions contained in your policy document. The information contained on this webpage is general only and should not be relied upon as advice.

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