Understanding the differences: Public Liability Insurance vs Property Owners' Liability


Insurance is an essential part of any business operation, regardless of industry. Two types of insurance policies that often converge in discussions are Public Liability Insurance and Property Owners' Insurance. Despite their similarities, they serve distinct purposes and provide coverage for different scenarios.


What is Public Liability Insurance?

Public Liability Insurance is a type of policy that protects businesses from claims arising from injuries or property damages sustained by third parties within business premises or due to business operations. This could include customers, delivery personnel, or visitors to the business location.


Features of Public Liability Insurance

Public Liability Insurance offers a broad range of coverage, including:

  • Bodily injury: If a third-party individual sustains injury on the business premises due to negligence, this coverage comes into play.

  • Property damage: If business operations cause damage to a third-party property, this policy covers the cost of repair.

  • Legal costs: In the event of a lawsuit, the policy covers the legal fees associated with defence and settlement.


Cost of Public Liability Insurance

Public Liability Insurance varies based on factors including the type of business, its location, size, previous claim history, and the number of employees. It's advisable to get insurance quotes tailored to your specific business needs to know the exact cost.


Understanding Property Owners' Liability Insurance

Property Owners' Liability Insurance, also known as Landlord Insurance, offers coverage to property owners for claims made by third parties related to the property. This insurance type is important for landlords or property owners who let out their property to tenants.


Cost of Property Owners' Liability Insurance

Much like Public Liability Insurance, the cost of Property Owners' Liability Insurance depends on various factors such as the type of property, its location, and the level of risk associated with the property.


Public Liability Insurance vs Property Owners' Liability Insurance: The Main Differences

While both insurance types offer coverage, the primary difference lies in the policyholders and the nature of protection. Public Liability Insurance is essential for businesses with high public footfall. On the other hand, Property Owners' Liability cover is designed for landlords or as part of a homeowner's insurance policy.


Who needs Public Liability Insurance?

Ideally, any business that interacts with clients, customers, or should consider Public Liability Insurance. This includes, but is not limited to, restaurants, retail stores, construction businesses, and professionals such as doctors, accountants, and lawyers.


Who needs Property Owners' Liability Insurance?

Property owners or landlords who rent out their properties to tenants should consider Property Owners' Liability Insurance. This includes residential landlords, commercial property owners, and individuals who let out their properties for holiday rentals.


Tips for reducing liability claims

One of the most effective strategies is to prioritise safety measures by regularly inspecting your premises and addressing potential hazards promptly.

Moreover, maintaining accurate records can also help in the event of a claim, providing evidence that you have taken the necessary steps to prevent accidents.

  • Implementing safety measures

  • Regular property maintenance

  • Ensuring all operations adhere to standard safety protocols can help reduce the risk of liability claims.


Property Owner’s Insurance considerations

Whether you're looking to get a quote for Property Owners Insurance or any other insurance product, consider getting a quote through our website. Alternatively, you can give us a call on 01384429900 to receive more information from our insurance specialists.



Public liability insurance and property owner's liability are often confused, but they aren't quite the same thing. Public liability insurance is a broad coverage that protects you from claims made by members of the public for injuries or damages that occurred on your property.

On the other hand, property owner's liability specifically covers legal liability for any accidents, injuries or damage that happen on your property or due to your property. In essence, while there are overlaps, public liability insurance has a wider scope. So, is public liability insurance the same as property owner's liability? Not quite, but they are closely related.

While Public Liability Insurance and Property Owners' Liability Insurance serve different purposes, they are both essential in protecting businesses and property owners from potential financial losses. Understanding the differences between them can help you choose the right policies that suit your specific needs.


Frequently asked questions


Do you need public liability insurance on private property?

Public liability insurance may not be a legal requirement for private property, but it is certainly a wise consideration. This type of insurance protects you from the financial strain of potential accidents or damages that could happen on your property. Imagine a guest slipping on your icy driveway or a tree falling on your neighbours’ car; without public liability insurance, you could be held financially responsible. Therefore, having public liability insurance for your private property is not just about ticking a legal box, it's about safeguarding your peace of mind and financial security.


Is property owners insurance the same as buildings insurance?

Property owner insurance and buildings insurance may seem similar, but they are not exactly the same. Buildings insurance generally covers physical damage to the structure of the property, such as walls, roofs, and floors. On the other hand, property owner insurance offers a broader level of protection. It not only covers physical damage but also includes liability coverage if someone is injured on the property.