Public Liability Insurance Policy - Definition, Coverage, Exclusions, Types, Add-On Covers, Claims Process, Companies, Quotes

What is a Public Liability Insurance Policy? - Definition

A Public Liability Insurance Policy is a type of Insurance Policy which offers coverage for Defence Costs and Compensatory Damages that the Insured Company becomes legally liable to pay on account of Bodily Injury or Property Damage suffered by a Third Party because of Accidents occurring on the Insured’s Business Premises.

What are the exclusions under a Public Liability Insurance Policy?

A Public Liability Insurance Policy does not cover the following:

1. A Public Liability Insurance Policy excludes losses arising from Contractual Liability assumed by the Insured. The Policy only provides coverage for liabilities arising under law.
2. The Policy excludes losses arising out of Acts of God such as Flood, Storm, Cyclone etc.
3. The Policy excludes losses arising out of Willful or Intentional Non-Compliance of any Statutory Provision
4. The Policy excludes losses arising out of Willful Misconduct of the Insured
5. Punitive or Exemplary Damages are not Covered
6. The Policy does not provide coverage for Fines and Penalties
7. The Policy does not provide coverage for losses arising from Wars or Invasions

What are the types of Public General Liability Insurance Policy?

The different types of Public Liability Insurance Policy are as follows:

1. Public Liability Insurance Policy for Industrial Risks: A Public Liability Insurance Policy for Industrial Risks is suitable for manufacturing enterprises and storage risks such as Warehouse, Godowns, Tanks which are incidental to the manufacturing activities of the Insured.
2. Public Liability Insurance Policy for Non-Industrial Risks: A Public Liability Insurance Policy for Non-Industrial Risks is suitable for non-manufacturing risks such as Cinema Halls, Theatres, Schools, Hospitals, Hotels, Restaurants, Auditoriums etc.

What are the Add-On Covers in a Public Liability Insurance Policy?

The Insured can opt for the following Add-On Covers as part of a Public Liability Insurance Policy:

1. Sudden and Accidental Pollution Extension: The Pollution Extension provides coverage for Bodily Injury and Property Damage arising directly or indirectly by seepage, pollution or contamination which is caused by a sudden unintended and unexpected happening. This extension also pays for the cost of removal, cleaning up the contaminating substances.
2. Transportation Liability Extension: Transportation Liability Extension provides coverage for Bodily Injury and Property Damage arising out of an Accident directly caused by the Insured
3. Technical Collaborators’ Liability Extension: Technical Collaborators Extension in a Public Liability Insurance Policy provides for coverage for a Named Technical Collaborator in the Policy with respect to the Technical Collaboration Agreement between the Insured Party and the Collaborator
4. Food & beverages Liability Extension: The Food and Beverages Extension covers the legal liability of the Insured arising out of Bodily Injury/Death of the third party which happens on account of consuming food or beverages supplied by the Insured.
5. Swimming Pool Extension: This Extension covers the Legal Liability of the Insured arising out of Bodily Injury caused because of using such facilities inside the Insured’s Premises

What is the Claims Process for a Public Liability Insurance Policy?

The Insured needs to follow the below mentioned steps to file a Claim under a Public Liability Insurance Policy:

1. Step 1: Intimate the Claim to the Insurance Company as soon as possible
2. Step 2: Submit the necessary details such as Policy Number, Date and Time of Accident, Description of the Accident, legal notice received etc.
3. Step 3: Submit the documents required for a Public Liability Insurance Claim such as ID Proofs, GST Certificate, Claim Form, Legal Notice etc.
4. Step 4: The Insurance Company appoints a surveyor to examine the facts of the incident.
5. Step 5: If the claim is admissible, the Insurance Company has a Duty to Defend the Insured against the lawsuit by providing an advocate to defend him

Which Insurance Companies provide a Public Liability Insurance Policy in India?

The list of Insurance companies providing Public Liability Insurance Policy in India are as follows:

1. ICICI Lombard General Insurance Company
2. New India Assurance Company
3. Bajaj Allianz General Insurance Company
4. HDFC Ergo General Insurance Company
5. SBI General Insurance Company
6. Oriental Insurance Company

What is the Limit of Liability for Public Liability Insurance Policy?

The Insured needs to opt for an Indemnity Limit for Any One Accident and an Indemnity Limit for Any One Year under a Public Liability Insurance Policy. The Indemnity Limit for Any One Accident determines the maximum Limit of Liability arising out of a single accident/incident while the Indemnity Limit for Any One Year determines the maximum Limit of Liability under the policy.

Get Best Quotes for Public Liability Insurance Policy with Qian!

If you are looking to buy a Public Liability Insurance Policy, you can request a free 60-minute Insurance Policy review with the experts at Qian. Our team would recommend the appropriate coverages and the Best Quotes for your Public Liability Insurance Policy. Contact us now at insurance@qian.co.in or 022-35134695 for your Public Liability Insurance Policy. We would be glad to assist you.

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