public liability insurance for sole traders

DLC

Hi

Im in the process of setting up a small school of music with another music teacher and moving from a residential private lesson setting into a commercial unit.

Can anyone advise me if public liability insurance is required by law in this situation and if so, just how much would I be expected to pay for it.

I did a little research and got mixed information. Insurance companies insist that P.L.I is mandatory (and of course they would) but some sources suggested that it is at the traders own digression but if an accident results in a case for damages being brought against the trader then they are personally liable.

Any enlightenment on this would be much appreciated

All the best

Mike
DLC

oldyouth

Public Liability insurance is not a legal requirement and I've never come across an insurer proclaiming it to be so.

In practical terms, your landlord may make it a condition of your lease to effect a policy to avoid them being dragged in to a claim for which you are liable.

Regardless of anything, I would never dream of operating a business, no matter how low risk, without public liability insurance

ravima

Agree with OLDYOUTH.

I would also AVOID going near any of the insurers who told you that PL insurance was mandatory. In fact, you should name them here, so that we can all avoid them.

coylemj

You describe the business as a 'small school of music', the liklihood is that with no PLI, one claim will put you out of business.

Someone will trip and fall on the premises, something that could just as easily have happened out on the street but because it happened on your premises, their friends will advise them that your (non-existent) insurance company will settle out of court for pain and suffering and they will lodge a claim which you will have to pay for out of your own pocket.

By the time you convince the 'victim' that you don't have insurance and that the claim will put you out of business, they will then have a choice to either pursue the claim to the bitter end or withdraw the claim and pay their ambulance-chasing lawyers' fees out of their own pockets, you can guess which option they will choose.

EauRouge79

Agree with previous posts that you should have this cover.

It wont cost you a fortune though. Get a quote from Allianz or ask your broker to contact them when looking for a quote.
They are probably the cheapest at present.

Depending on the number of classes per week you shouldnt pay anymore than €300 per annum, this will cover you and one business partner.
If you get a quote around about the €300 dont waste your time shopping around any further.

Gloomtastic!

EauRouge79 wrote: »

If you get a quote around about the €300 dont waste your time shopping around any further.

Don't believe a word of it!

I pay €150 per year for €2.6millon PLI. www.bizbroker.ie

EauRouge79

Gloomtastic! wrote: »

Don't believe a word of it!

I pay €150 per year for €2.6millon PLI. www.bizbroker.ie

That really is for nothing. Are you in a similar trade to DLC?

Gloomtastic!

EauRouge79 wrote: »

Gloomtastic! wrote: »

Don't believe a word of it!

I pay €150 per year for €2.6millon PLI. www.bizbroker.ie

That really is for nothing. Are you in a similar trade to DLC?

Childrens Entertainer

EauRouge79

Gloomtastic! wrote: »

Childrens Entertainer

Fair play, thats good going.