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Buyer's guide · 2026

Best Business Liability Insurance

Liability cover protects your business against claims from the public, clients, or employees. Most trades need at least one of these — and employer liability is a legal requirement in the UK once you hire staff.

Compare business liability insurance

CoverBest forTypical UK premium
Business Public LiabilityPublic liability insurance protects your business against claims from members of the public for injury or property damage caused by your business activities..£80–£800/yr
Professional IndemnityProtects professionals and businesses against claims for financial loss suffered by clients as a result of negligent advice, errors, or omissions..£150–£2,000/yr
Employer's Liability InsuranceLegally mandatory in the UK for any business with employees.£80–£600/yr

1. Business Public Liability

£80–£800/yr

Public liability insurance protects your business against claims from members of the public for injury or property damage caused by your business activities.

Covers

  • Third-party bodily injury claims
  • Third-party property damage claims
  • Legal defence costs
  • Claimant's legal costs if court awards against you

Excludes

  • Employee injury (covered by Employer's Liability)
  • Professional errors (covered by Professional Indemnity)
  • Deliberate acts
  • Contractual liability beyond the insured sums

Available in: United Kingdom, Ireland

2. Professional Indemnity

£150–£2,000/yr

Protects professionals and businesses against claims for financial loss suffered by clients as a result of negligent advice, errors, or omissions.

Covers

  • Claims for professional negligence
  • Breach of duty claims
  • Defamation and intellectual property infringement
  • Loss of documents

Excludes

  • Fraud or dishonesty
  • Insolvency of the insured business
  • Claims known at policy inception
  • Contractual liability exceeding duty of care

Available in: United Kingdom, Ireland, Germany

3. Employer's Liability Insurance

£80–£600/yr

Legally mandatory in the UK for any business with employees. Covers claims from employees for work-related illness or injury.

Covers

  • Employee injury claims
  • Occupational disease claims
  • Legal defence costs
  • Claimant's awarded damages

Excludes

  • Claims from family members who are also directors (check policy)
  • Contractor disputes (covered by PLI)

Available in: United Kingdom

Frequently asked questions

What types of business liability insurance are there?

The main options are Business Public Liability, Professional Indemnity, Employer's Liability Insurance. Each protects against a different risk, so the right choice depends on your circumstances.

How much does business liability insurance cost in the UK?

Typical annual premiums in this category range from £80 to £2,000 per year depending on the cover and your circumstances. Get a live quote for an accurate price.

Do I need public liability insurance as a sole trader?

Public liability insurance is not legally required for sole traders in the UK, but many clients and venues require proof of cover before allowing you to work on-site. Cover from £80/year is inexpensive relative to the risk.

Who needs professional indemnity insurance?

Any business that provides professional advice or services — consultants, architects, accountants, IT professionals, designers, and therapists. Many professional bodies (FCA, RICS, Law Society) require it as a condition of membership.

Get the right business liability insurance

Compare FCA-regulated insurers on GeraSure and only pay for the cover you need.

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GeraSure is a comparison and referral service. Insurance products are provided by FCA-authorised or equivalent regulated insurers in each jurisdiction. GeraSure does not underwrite insurance policies and does not provide financial advice. Always read the policy wording before purchasing.