Nine questions to ask your pet insurance

How do the policy limits work?

Some policies will offer a maximum annual payout for a pet. Others offer a maximum annual payout for a particular condition, though in some cases the limit may apply to each individual claim.

What about ongoing conditions?

Many policies will continue to offer treatment for a condition that continues into a new premium year, as long as the policy is renewed and never allowed to lapse. Some don't, so be sure to ask. Remember that even when an insurer offers ongoing coverage, there will likely be an annual maximum payout.

What about age limits?

Usually an insurer will only begin covering a pet that is below a certain age. Some will refuse to renew the policy once the pet reaches this age, while others will continue covering it as long as the policy never lapses.

If you have a policy that pays out if the pet dies through illness or accident, this specific element of cover may cease at a particular age.

Can I get a no claims discount?

In many cases, insurers don't offer this. The reasoning is that whereas it isn't a problem if a homeowner replaces a stolen bag or a driver pays to fix a minor dent, if a pet owner doesn't get their animal treated (in an attempt to maintain a no claims discount), it's likely to harm the animal's health and lead to costlier claims in the future.

What about dental treatment?

Many pet insurance companies exclude routine dental treatment. However, some will cover dentistry costs that result from an accident.

Is my breed of dog covered?

Most insurers have a list of breeds that they will not cover, either because there is a greater risk of them becoming ill, or because they are too high value. Check carefully as an insurer may exclude a dog even if it is a cross-breed with one of the listed breeds.

Does the policy cover alternative medicine?

While it is rare for human medical insurance to cover non-pharmaceutical medicines, there is more scope among pet insurers. If your policy does cover such treatment, check carefully to see exactly what treatment is covered, and whether you need a vet's diagnosis before you can make a claim.

What about working pets?

Generally dogs used for commercial purposes such as security or racing cannot be covered. Sheepdogs are covered by some insurers, while most will cover guide dogs for blind people, though they may not pay compensation to cover the inconvenience caused to the owner if the dog is ill.

How does the excess work?

While some insurers operate a simple excess system, by which the owner pays a fixed amount towards each claim, others also use a co-payment system, particularly for older pets. This means the policyholder not only pays the excess amount, but then pays a fixed percentage of any claim amount above the excess.

Is Your Cat or Dog Too Old for Cheap Pet Insurance?

Most of us tend to suffer more frequent health problems as we age, and the same is true of our pets. Just as we might have to pay more for health cover the older we get, premiums for pet insurance can also increase substantially.

In most cases, you can expect to start paying significantly more for insurance once your pet reaches eight or nine years old. And in fact, many insurers simply don’t insure pets over this age unless they’re renewing an existing policy. Insurers that do cover older cats and dogs tend to quote much higher rates.

According to data from LV (Liverpool Victoria) General Insurance, the average cost of a visit to the Vet is around £300 each and, with a third of cats and dogs suffering from an injury or illness every year; this could mean a significant increase in costs for you as your pet get’s older.

Whilst insurance is designed to protect you and your pet from the financial burden of injury or illness, the difficulty in comparing policies on a like for like basis makes finding effective and affordable cover for an older pet easier said than done. A wide variety of exclusions and excesses that differ between insurers make it difficult enough, but policies can also vary according to how much you can claim for different health conditions.

New Insurance for Older Pets

Liverpool Victoria pet insurance has recently begun offering cover for older cats and dogs, with no upper age limit. Each policy includes a standard £60 excess for each claim, and there are two different plan types on offer:

• The Essential plan includes twelve months’ worth of cover for each condition (from the date of diagnosis or first treatment for a given condition)
• The Premier plan includes £5,000 worth of coverage for each condition. No time limit applies on this plan.

Premium costs are definitely affordable, particularly in comparison to previous premiums for older pets. As with other types of pet insurance, the cost depends partly on the breed of the animal you’re insuring.

On the Essential plan a ten year old moggy will cost £106 to insure each year, while on the Premium plan, the costs is £146. For a ten year old Burmese cat, the cost is £116 and £163 respectively for the Essential and Premier plans.

A ten year old Jack Russell will cost £172 a year on the Essential plan, and £255 on the Premium. For Labradors, which are prone to leg conditions as they age, the annual cost is £198 and £306 respectively.

Other insurers who have no upper age limit on new policies at the time of writing are:

• Halifax pet insurance
• Marks & Spencer
• More Than
• Petplan
• Petwise

Interestingly, higher Vet’s fees may actually be helping to decrease insurance costs for older pets. An increase in Vet’s fees has led to more people buying pet insurance, and as the demand for this type of cover grows, insurers are starting to accommodate customer’s needs with more competitive packages.

What is Family Income Benefit Life Insurance?

Family Income Benefit is one of the least expensive forms of Life Insurance and differs from most other types in that it is designed to pay the benefit as an income rather than a lump sum.

Low Cost Family Protection
The fact that the amount of cover (sum assured) is paid in regular instalments means that the risk to the Insurer is decreasing over the term chosen which makes Family Income Benefit cheaper than Level Term Life Insurance where the risk to the Insurer is the same throughout the term of the plan.

Regular Tax Free Income Payments
In the event of a claim, income can be paid monthly, quarterly or annually and under current rules the income is tax-free. This makes it ideal for Family Protection where a family are looking to insure the main bread winner over a specific term, for example to his or her retirement age.

Extra Cover Options
Family Income Benefit can also include Critical Illness Insurance which is designed to pay the selected income if the policyholder is diagnosed with a Critical Illness within the chosen term. Critical Illness conditions vary from insurer to insurer but in general include such conditions as Cancer, Heart Attack, and Stroke etc. In addition to these “Core Conditions” applicants can also select comprehensive cover which usually includes 25 to 30 additional conditions.

Although Level Term Life Insurance is perhaps the most popular choice for Family Protection, the difficulty for most successful claimants is how to generate an income from the cash lump sum. For simplicity most people tend to place the proceeds of the policy in a Bank or Building Society deposit from which they take a regular amount of interest as income. The problem with this is that the interest generated may be subject to tax and will have to be declared via Self Assessment.

Family Income Benefit therefore should be considered when looking to effect insurance for Family Protection. Family Income Benefit is a low cost, tax efficient solution to Family Protection.

Pet Abandonment Figures Highlight a Need for Insurance

The number of pets, particularly cats and dogs, being abandoned is continuing to rise according to the RSPCA, which recently announced that abandonment is up a staggering 23% compared to last year’s figures.

It’s not only that owners underestimate how much time and energy it takes to look after a pet, but just how financially draining a pet can be. Healthcare costs for pets have been steadily rising for several years, partly due to the increasing sophistication of available veterinary treatments.

Where once a broken leg or other serious injury might have meant euthanasia for a family pet, these days an operation that will enable a full recovery might end up costing hundreds of pounds in vet bills.

The lifetime costs of owning a pet can range in the thousands. According to figures by Sainsbury’s pet insurance, the average dog owner pays just over £500 annually for food, veterinary bills, and other expenses. Pet care costs haven’t stopped increasing though, Sainsbury’s estimate that in just twelve years time, the annual cost could be as high as £921.

Are we Killing our Pets with Kindness?

Another issue that has led to increasing petcare costs is the way we’re feeding our pets. Many of us are, unfortunately, killing our cats and dogs with kindness by giving them unhealthy food that’s not designed for animals.

Pet foods are nutritionally balanced especially for pets, which have very different dietary needs from our own. Giving our pet’s constant treats or table scraps can cause rapid weight gain, and like humans, animals can develop serious chronic health conditions if they’re allowed to become obese. Somewhere between one third and one half of all Britain’s cats and dogs are overweight, and it’s estimated that there are more than five million obese pets nationally.

As a result, pets are developing diseases such as diabetes and osteoarthritis as well as chronic circulatory and respiratory problems that are not only making them unhealthy and reducing their lifespan, but also mean their owners must pay more for veterinary treatment.

We consider our pet’s part of the family, but sadly, many of us just aren’t taking the best care of their health. Before you give your pet the table scraps they seem to be begging for, consider whether you’re helping or hurting them.

A Place for Insurance

Whilst insurance is an additional expense that many owners can ill afford, an increasingly competitive market has resulted in greater choice and cheaper premiums for many. But as the recent figures show, the alternative to prudent planning could be the loss of your pet if an unexpected illness or injury requires urgent and ongoing treatment.

If owners make the commitment to buy a good policy when they take on a new pet, they’ll potentially save thousands of pounds over its lifetime and have the means to ensure any health problems are diagnosed and treated early

Know your rights if you're hit by an uninsured driver

What is the uninsured drivers agreement?

The uninsured drivers agreement is an arrangement between the Government and the Motor Insurers Bureau (MIB). The MIB is a company which is funded by its members; by law all insurers which deal with compulsory motor insurance (that cover which drivers must legally have) are required to be MIB members.

Under the agreement the scheme will pay some or all of the costs incurred when an insured driver is involved in an accident which is held to be caused by an uninsured driver.

How do I make a claim under the scheme?

You should submit a claim using the official form on the MIB website (www.mib.org.uk) and supplying as much detail as possible. The MIB advises drivers to make sure that the other driver is uninsured (via a check with the DVLA); make a formal complaint to the police about the other driver breaking the law by driving without insurance; and report the accident to your own insurer.

Where possible you should also provide the MIB with two estimates of the cost of the necessary repairs, or one estimate stating the car is a write-off. It's not necessary to include the estimates if doing so would delay your claim.

What happens next?

The MIB will then consider the case. This can take a few months for minor damage, but much longer for complex cases. As part of the process, the MIB is required to contact the uninsured driver. If they refuse to cooperate with the investigation, it may complicate matters.

How much will I get?

This will depend on the investigation and any associated court decisions. If you are held to be partly or fully responsible for the accident, it will affect the compensation you receive.

For accidents after 7 November 2008, no excess payment is deducted from the compensation you receive. If you receive any compensation for lost earnings, you may have to repay some Government benefits you have received in relation to the injuries.

What about hit and runs?

In the event of a hit and run case, of any other accident where you can't identify the other driver, you can claim under a separate MIB scheme known as the untraced drivers agreement. The MIB will then co-ordinate with the police to get information from its own investigations, which means it may take some time before the claim is processed and completed. You may only be able to recover part of any legal costs you incur in this process.

As a general rule, the untraced driver agreement scheme will not pay for damages to your car unless the vehicle itself has been identified. If the vehicle hasn't been identified, you should still be eligible for compensation relating to injury as long as the investigation has a satisfactory outcome.

How much does the MIB schemes cost drivers?

At the moment the MIB estimates the fees paid by members are equivalent to between £15 and £30 per policyholder. These fees are built in to the cost of premiums. In recent years the general pattern has been for these costs to rise by more than the rate of inflation. This has been blamed on higher payouts and legal fees for the victims of uninsured drivers.

s it worth buying GAP insurance for your car?

Buying a brand new car for many people is a big deal. Unfortunately, the reality is that as soon as you drive your beloved car away from the garage it automatically loses a considerable amount of its value. Accidents happen and the chances are it may not even have been your fault, so why take the risk?

How will GAP Insurance benefit me?

If your vehicle is stolen or damaged beyond repair, your insurance company may not pay you enough to settle the outstanding finance on the car, and will certainly not pay you back the amount you paid for it. Taking out GAP Insurance ensures you will not be left out of pocket if you have a total insurance loss on your vehicle.

I can get GAP Insurance from the car dealership so why should I purchase it online?

In theory the GAP Insurance you buy from a dealership is a good product. In practice, GAP Insurance purchased from your local dealership may not always be the best product or price that suits your needs. The most important message is to shop around and don’t accept the first deal just because it is convenient or because you are being pressured by the sales rep.

Remember, with most policies you have a 14 day cooling off period should you be unhappy with the deal.

Car dealerships typically sell GAP Insurance policies from £299 - £799. Consumers may think they are too expensive and not worth the price they are paying, especially if it is more expensive than their Comprehensive motor insurance policy they already have. If the premium was 1/3 of the cost dealers charge, would it be worth it? The answer... If you buy the right policy, at the right price!

Back To Invoice Policies

With Back To Invoice policies you have the option to clear the balance of the finance or return to the original invoice price of the vehicle. For example: a vehicle purchased today on finance for approx £30,000 with finance over 4 years and charges of £4500, would, if written off next month, cost you £34,500.

A Back To Invoice policy that nearly every dealership sells, would not clear the £4500 finance charges. This would only get you back to the invoice price. Purchasing a Finance GAP Insurance policy would clear the £4500 however, this wouldn’t get you back to your invoice price.

Vehicle Replacement Policies

Protect yourself with a Vehicle Replacement Policy that allows you to claim a higher monetary level than that of a Back To Invoice policy, however, it can be a more expensive policy to buy.

If you have recently bought a new vehicle and have benefitted from the Government’s Scrappage Scheme or a high level of discount from the dealer, there is no guarantee that these levels of discount will be available a year from now.

Who can take part in the Pass Plus course? car insurance

Pass Plus is a course aimed at improving driving skills, particularly among newly qualified drivers. As well as becoming safer drivers, people who pass the course can obtain discounts from some insurers to recognise their reduced risk of being involved in an accident.
Who can take part in the Pass Plus course?
Any driver is eligible to take part in the course. It is mainly aimed at people who have passed their driving test in the past year. The course may be a little more difficult for people who have been driving for longer than this and have either become rusty or picked up bad habits.
How much does Pass Plus cost?
The cost varies depending on the region and the instructor. It is generally in the £100 to £150 range. Some local authorities will pay up to 50% of the fees, though students will need to apply directly to the authority, usually to the transport or road safety department.
What is covered on the course?
There are six modules on the course: driving in a town (which incorporates general advanced driving skills), driving in extreme weather conditions, driving in the countryside, driving at nighttime, driving on dual carriageways, and driving on motorways. Wherever possible, as many of these skills are taught in a practical setting rather than just the theory.
Will I get an insurance discount?
Not all insurers offer discounts to people who have completed Pass Plus. At the time of writing, those who did were: 4Counties, AA, Adrian Flux, Churchill, CIS, Click4Gap, Direct Line, Endsleigh, i-Kube, Privilege, Provident, Quinn Direct, Royal and Sun Alliance, Swinton, Tesco, Young Marmalade and Zurich. It is worth checking with other insurers to see if the situation has changed.
How do I claim my discount?
On completing the course, you should be issued with a Pass Plus certificate. You can then provide this certificate to the insurer to get your discount. Some insurers will allow you to wait up to two years before using it, for example if you have not yet bought a car. Be careful to check the conditions as some insurers will only accept a Pass Plus certificate achieved within one year of passing your original driving test.
How much discount will I get?
This varies immensely. In some cases it can be up to 35%, while in others it may be as little as 5%. Depending on your circumstances, the saving may or may not be enough to cover or exceed the cost of the course. You may also make greater savings by using a different insurer, even if that insurer doesn't offer a Pass Plus discount. Of course, it's worth remembering that the course offers benefits beyond the immediate financial savings. It may even reduce the likelihood of you making claims, which could later pay off in no-claims bonuses.

Six of the best questions to ask a potential car insurer

Article by UK Insurance Index

n theory it’s easy to choose a car insurer based on a combination of cost and the usual policy features.

In reality, there are a host of factors which can affect the suitability of a policy for your needs and its eventual overall cost which aren't always reflected in a quote comparison or even a quick scan of the insurers website.

Here are six questions to ask potential motor insurers which can reveal less obvious differences that could impact your satisfaction as a new policyholder.

1. What's the policy on repairs?

Different insurers have different rules for what happens to your vehicle after a crash. Some will let you use any reputable repair centre and then send in the bill (though this isn't a guarantee your claim will be settled in full.) Others will let you choose your own repairer but require you to get a quote and have it authorized before you go ahead with the repairs. Others will insist you choose from a list of approved garages.

2. What is your schedule for no claims discounts?

No claims discounts can make a serious difference to the amount you pay: eventually your overall premium could be halved or reduced even further. But this isn't an issue where you can simply compare two figures: you'll need to take into account how much the discount is for each extra year without claims, and at what point the discount "bottoms out" and you can't earn any further discounts.

Check also to see what happens if you make a claim: many insurers will, as long as it's only a one-off claim and you then go at least a year without another claim, allow you to keep some or all of your discounts rather than have to start from scratch.

3. Is there a maximum no claims discount you can transfer?

Most insurers will allow you to carry over your no claims record from another insurer and offer the appropriate discount - after all, if they didn't you'd have less incentive to move. But some insurers impose a limit on the number of NCD years you can accumulate which can be as little as five years. So you could be worse off if you transferred your NCD of seven years with one insurer to another that only allows five years. In effect you’ve just lost two years of NCD which could have saved you money if you moved to another insurer with a higher NCD maximum the following year.

4. How does the payment method affect the premium costs?

In some cases, paying by cash or debit card can earn you a discount (or avoid a surcharge, depending on how you look at it.) On the other hand, some insurers allow you to pay in installments over the year, but charge a higher premium for doing so. Be sure to calculate how much this premium works out as in terms of interest and consider whether borrowing the money through an overdraft or paying on a credit card might actually work out cheaper.

5. Are there any admin charges for policy amendments or cancellation?

There can be a host of potential admin charges for specific policy events such as amendments and cancellation. Whilst your actual premiums might be the lowest around, if you have to pay hefty admin charges for simply changing your address it could prove less than competitive. Therefore scour the policy booklet for admin charges or give your shortlist of insurers a call for confirmation before buying. You can read more about policy charges in the article How to uncover hidden costs of car insurance before buying. 

6. What other discounts are available?

Some of the factors that may earn you a discount include completing the Pass Plus scheme of advanced driving lessons for newly qualified drivers; fitting an alarm system from an approved manufacturer; taking out both motor and home insurance with the same provider; and agreeing to stick to keeping below a certain mileage, an option that's good for occasional drivers or light use vehicles. But which insurers offer which discounts -- and by what percentage -- can vary immensely.

How Does Life Insurance Work?

Life insurance actuaries look an individuals age, sex, health and habits and decide when someone with that profile is most likely to die. They then consider how much cover the buyer wants to purchase and set the premiums accordingly.

For example, smokers are (on average) likely to die sooner than non-smokers. Insurance companies know this means they will probably have to pay out a little sooner whenever they insure a smoker, and therefore charge people who smoke a higher premium to reflect this. This principle forms the basis of all life insurance.

There are two main types of plan to choose from:

• Term Life Insurance - This is the cheapest option, and pays out only if the holder dies while the policy's fixed-length term is in force. If the holder survives until the end of the term, they get nothing back. People often time their insurance to run only until a big family commitment ‚ such as the children's education, had been cleared.
• Whole of Life Insurance - As the name suggests, these policies remain in force right through the buyers life. It follows that the insurance company will have to pay out in almost every case, and premiums are therefore higher than those charged on term life insurance plans. Some policies demand that premiums be paid all the way up to the holders death. Others become paid-up at a certain age, and waive premiums from that point onwards.

What Does The Cover Provide?

There are a number of different types of Term and Whole of Life Insurance plans on the market. The cover which is provided will depend on the type of plan taken out. The types of plans available are as follows:

Term Life Insurance

• Level Term - The plans potential pay out remains the same for the full term of the policy.
• Decreasing Term - The level of cover gradually reduces over the policy term to match a reducing liability such as the amount left to repay on a mortgage loan.
• Increasing Term - Cover offered and premiums paid gradually increase in line with inflation. Designed to ensure the amount of cover purchased remains realistic and is not eroded by the effects of inflation over time.
• Renewable Term - Allows plan holders to extend their cover for a further term with no health check.
• Convertible Term - Allows holders to swap their term cover for a whole of life or endowment policy with no health check.
• Family Income Benefit - Pays the surviving family a regular income instead of a lump sum for the remaining term of the policy.

Whole of Life Insurance

The majority of whole of life insurance policies are unit linked which means that premiums are invested into a fund and the cost of the protection is deducted from the fund as it grows. When a plan is taken out there is a choice of  'Maximum' or 'Standard' basis.

Maximum basis gives a very high level of cover for the monthly premium. Whilst this level of cover will be guaranteed for 10 years it is very likely that there will have to be an increase in premiums after each of the regular reviews. These usually take place after 10 years then after every 5 years.

Standard basis gives a lower level of cover for the premium, but is more likely that this level of cover and premium will stay the same throughout the policyholders life.

Tips for Buying Life Insurance

Shop Around
Don't head straight for the nearest high street bank or direct provider just because they are familiar. Most banks and high street providers are tied to one insurer and won't be able to offer potentially cheaper and better quality cover from other providers.

Use an independent insurance specialist who can compare policies and premiums. Some offer discounted premiums and free advice to help you choose the right policy and provider for your circumstances.

Know What You Need
There are many different types of life insurance and policy options that are designed for various needs. To ensure you aren't disadvantaged or paying too much for cover you don't need, either research the options or take independent advice.

Work Out How Much You Need
Generally speaking, your life insurance should provide a lump sum big enough to pay off your mortgage and other debts, or to invest to provide an income to support your dependants for a sufficient time such as six months or a year.

Guaranteed Premiums 
Are the premiums Guaranteed? This means the premiums are guaranteed to remain the same throughout the term of your policy. This is opposed to `Reviewable´ premiums which, as the name suggests, are reviewed usually every 5 years and can increase at the discretion of the insurance company.

Declare All Material Facts
When applying, be sure to answer all questions fully and honestly. Declare everything that you are aware of and if in doubt, declare it anyway. Failure to declare even a minor issue can result in a claim being declined. Do not give the insurance company any excuse to refuse your claim.

Write Your Policy in Trust
Even an average life insurance pay out can easily take the value of your estate on your death over the inheritance tax allowance. Anything over this threshold is liable for 40% tax when this can easily be avoided by putting the policy in trust. Its free and simply requires completion of a trust form available from the insurance company. Once in trust, the policy remains outside your estate so won't increase its value on your death.

If Unsure Take Advice
Life insurance can be as simple as insuring your car if you know what you need and your affairs are simple. However, if you're affairs are a little more complex you should take independent advice.

How Does Business Life Insurance Work?

Business Protection gives your business financial help if the staff covered are affected by death, terminal or critical illness, or permanent disability during a benefit term.

Every business has certain key personnel who are vital to its success and prosperity. It might be the sales director, or it might be a specialist craftsman. Every business is different, but most directors will know which staff members are vital to prosperity.However, the damage caused by the prolonged absence of someone on whom a large part of the business depends is often underestimated or not even considered.

Key Person Insurance

Key person protection can cover one or two nominated individuals, who can be a partner or an employee. If they die or are diagnosed with a terminal or critical illness, the policy will pay a lump sum either on death or shortly after the diagnosis of a disease. Some policies will pay a regular income if they are absent from work for a long time.

Unforeseen events

If a partner in a business dies, there may be other problems. Apart from their loss to everyday business activity, there may be imperative reasons to buy out their shareholding so that it does not pass to outside investors who do not share the vision of the company's future. Such unforeseen events can lead to crises, reduced revenues and even, in some cases, business collapse.

Protect your business

Business Protection is designed to protect your business in circumstances like these. You can choose the benefits you need and tailor them with additional features, such as waiver of premium during periods of incapacity, the choice of fixed or renewable terms and having index-linked benefits so that they stay in line with increases in inflation. In addition, you can change your benefits as your business needs change.Business Protection covers the individual people you nominate in your policy or policies. If one of these people dies, is diagnosed with a terminal or critical illness the benefits are paid as follows:For life cover and critical illness protection, a lump sum is paid on death or after diagnosis of one of the specified illnesses.

What can benefits be used for?

Funds provided by business protection insurance policies can be used to:

• fund a permanent or temporary replacement
• tide the business over a period of reduced activity
• contribute to medical care to speed recovery
• repay an outstanding loan

Common questions about public liability insurance

What is Public liability insurance?

Public liability insurance covers costs relating to injury or property damage caused to the public that are deemed to be the responsibility of your business or staff members.

In most cases this cover awards made by a court, legal fees and expenses in bringing in a case. In some situations you may also have to pay compensation to the National Health Service towards medical treatment; these costs can also be covered.

Does this cover employees?

Injury to staff members is instead covered by employers' liability insurance. This is mandatory under a 1969 act.

Injury or damage to the public caused by your employees does come under public liability insurance.

How is the cost decided?

The pricing of public liability insurance can vary from business to business. Most will take into account the size of your business, in terms of employees and/or turnover. It's also common for a company to take into account any previous claims you have made (or incidents where you would have made a claim if covered). In some cases, there will be specific adjustments to the premium based on the safety practices you follow in your business.

You will need to check the terms and conditions of your policy carefully as in most cases acts of negligence on your company's part may limit or invalidate the protection which insurance gives you.

Is public liability insurance compulsory?

In most cases public liability insurance is a voluntary measure. In practice, though, you will often find that suppliers and customers won't deal with you unless you have adequate cover.

One example is live events such as entertainment or sport, where most venues will demand you have public liability insurance. This is to make sure that in the event of an audience member being injured, the claim can be dealt with by the company running the event, drastically reducing the chance of action against the venue.

There are certain types of business where public liability insurance is mandatory. Generally these include businesses where the service offered to customers involves inherent dangers such as extreme sports.

Are there any exceptions to what is covered?

As a general rule, you won't be covered for damage caused by a business activity you carry out which is illegal in itself.

Do self-employed people need public liability insurance?

A self-employed person, particularly one who works from home, is less likely to need this cover. The question to consider is where your work-related actions pose a risk of causing injury to others. If clients visit your office or home, you may want to look into cover in case they are injured on your premises.

Do I need cover if I have a great safety record?

It may seem that insurance cover is not needed if you strictly adhere to safe working practices when dealing with the public, but there are a couple of reasons why public liability insurance is still worth considering. One is that there may be a "freak accident" which is still deemed to be your responsibility. Another is that the policy may cover your legal fees if you successfully defend against a liability claim, minimising the risk of you losing out even when you are not to blame.

Is it possible to compare public liability insurance quotes like other types of cover?

Thanks to the internet, it is now possible to compare multiple policies and providers of public liability cover in a similar way to car and home insurance. Although the choice of companies is much more limited, online business insurance comparison sites such as Coverzones, Simply Business and Swintonoffer price and policy comparison services for most types and size of business. However, if your enterprise is a little more unique, there are a range of more specialist brokers who may be able to help.