Exclusions
i) Contractual liability i.e.: liability assumed by Insured
under agreement ii) Employees of the Insured iii) Loss or damage to property belonging to the Insured, in his charge or control and work upon iv) Explosion of steam boiler or vessel operating under steam pressure. v) Loss or damage caused by vibration or weakening of support. vi) Liability caused by or in connection with or arising from:- a) Any vehicle, loading and unloading b) Lifts, escalators, hoist and cranes c) Defective sanitary arrangements and food & drinks poisoning d) Vessel or craft e) Product Liability f) Fire, flood, explosion, fumes or water pollution. Limit of Indemnity
The Sum Insured in Public Liability Policy is represented by the limit of indemnity amount which is categorized into:- i) Limit of Indemnity Any One Accident ii) Limit of Indemnity Any One Period The Indemnity granted for 'Any One Accident' is a fixed amount determined by the Insured according to the exposures and circumstances of a particular risk. The Indemnity for the Period can be unlimited Territorial Limits In the absence of any specific indication, it is presumed that the activity is being carried out at the Insured's Premises only. If the employees are working away, then details of places where they work should be given. Minimum Information Required For a Quotation
i) Name of Insured? ii) Trade/ Occupation? iii) Limit of Indemnity anyone accident? iv) Location of Risks? v) Claim history? vi) Surrounding properties? Minimum Premium : RM 100.00 Declined Risks/ Treaty Exclusion Aviation risks including Airport Liability Asbestos Mining/ Processing Circuses Demolition risk Docks Explosive works/ Fire works Funfairs Fire works/ Ammunition Manufacturer/ Storage Harbor risks/ Ports Mines Oil Rigs/Oil well & Offshore Platform Petrochemicals Manufacturer/ Storage Railways Ski Resorts Security Firm Stevedoring risks/Ship-building / Ship-repairing and Ship-breaking Waterborne vessels Claim procedures (ACE Insurance)
· Upon receipt of a claim or possible claim from the third party, to notify ACE with the following basic information: o Description and extent of loss/injury suffered by third party o Date of loss/accident o Location o Any demand made by third party either verbal or written o Details of policy involved · Insured shall not in any circumstances admit the claim, make an offer, promise or payment to a third party without prior written consent from Insurer. · Claim from third party o Insured must immediately forward to Insurer any letter of demand or legal proceedings received from the third party. o Acknowledge receipt of the letter of demand and advise the third party's solicitors that Insurer has been notified and will be investigating the loss on a without prejudice basis. o If legal action is brought against Insured, Insurer will appoint solicitors to defend the insured pending determination of policy liability to protect insurer's interests. If investigations disclose that there is no policy liability, insured will take over conduct of the defense from insurer. o In any circumstances, the Insured shall not admit liability or enter into any negotiation with the third party or their solicitors without insurer's written consent. Public Liability Insurance - Business Guide What Is It? As any business owner you should consider Public Liability Insurance Cover if members of the public, clients or customers visit your premises. If you run a home-business, and customers sometimes visit you there, public liability cover might also be a good idea. What does it cover? Public Liability insurance will cover you if someone is accidentally injured by you or your business operation. It will also cover you if you damage third party property while on business. The cover should include any legal fees and expenses which result from any claim by a third party. This type of insurance will only cover third party claims (i.e. not your own employees - you need Employers Liability Insurance for your own employees). You should always ensure that your insurer knows what type of business you run, and you should always inform them if your circumstances change, as this may affect your policy. Examples of Public Liability Insurance Claims 1) You run a dry cleaning business. A customer comes in to pick up some clothes, but trips up on a loose bit of flooring in your shop. Public liability insurance would cover your business if the customer claimed for injuries sustained as a result of the un-maintained floor. 2) You are a self-employed IT support technician. Whilst at a customer's site, you accidentally knock over a cup of coffee, and the contents pour down the back of a computer, damaging it beyond repair. Public liability insurance would cover any claim from the customer. How much cover do I need? This will depend on the nature and size of your business operation. Many small businesses will have RM100,000 of public liability insurance cover - this may sound a lot, but if you suddenly have several claims against you, the costs can mount up. Despite the seemingly large amount of cover, typical premiums are not high.
How to get a quote As public liability is the most common insurance taken out by small business, you should be able to find a competitive quote in the marketplace. SPA & ASSOCIATES has several insurance partners who will be able to help - simply try the links below for more information: | Scope of Cover i) Accidental bodily injury to any person NOT being a member of the Insured's or any person in the services of the Insured.
ii) Accidental damage to property NOT belonging to or in the custody or control of the Insured.
iii) Any legal expenses incurred by the Insured in defending legal proceeding with the Company's written consent.
Extensions Available (loading of 5%) Exclusions Buy back i) Fire and explosion ii) Defective sanitary arrangements exclusion(c) iii) Loading and unloading iv) Food and Drinks Poisoning (usually with a Lower Limit specifically for exclusion (c) restaurant and/or food operators and applicable for any one accident or in the aggregate during the period of insurance) v) Passengers / Service Lifts and Escalators b)partial vi) Innkeeper's liability covers for Hotel establishments vii) Professional negligence (Rates below are just indicative and may varies according to underwriting experience) i) It is difficult to fix rates since each risk has its own unique features. However, the following minimum rates based on a Limit of Indemnity of RM 100,000 for any one accident could be used as a guide. Minimum Rates: *(Indicative only) A : Dwellings, Office A RM100-RM251 B : Shopping Complex, Cinemas, B RM500-RM751 Clubs, Restaurant & Retail Shops. C : Hotels C RM5-RM10 per room subject to minimum RM501 D : Factories. RM350-RM500 (depending on processes) E : Builders, Electrical, Painting/ E 0.30% to 0.70% of Wages / Turnover Decorations or F : Petrol Stations RM 200 per station plus RM 10 x number of Pumps/hoist Category (RM 100,000 a.o.a): A RM100-RM251 B RM500-RM751 C RM5-RM10 per room subject to minimum RM 501 D RM350-RM500 (depending on processes) E 0.30% to 0.70% of Wages / Turnover F RM 200 per station plus RM 10 x number of Pumps/hoist ii) Increased Indemnity To increase to Increase Premium by RM150.000 40% RM200.000 75% RM250.000 110% RM300.000 140% RM500.000 175% RM1.000.000 210% Note: The above are just a guideline only. Referred Risks Agricultural Shows Amusement Arcades Blasting Operations /Quarry Cabarets Cinemas Contractors Event Organizer Plant Hire Contractors Plumbing and Heating Engineers Sports Meets Stadium Waste Disposal Sites Documents Required · Property damage o Completed Claim Form o Photographs depicting damage o Written statements from witnesses to the incident, if available o Copy of Police Report, if any o Investigation/Incident Report o A sketch of the area where the incident occurred o Estimate of claim o Letter of claim from third party · Bodily Injury o Completed Claim Form o Detailed account of how, where and when the incident happened o Written statements from witnesses to the incident, if available o Photographs of injury sustained and area where the incident occurred o Copy of Police Report, if any o Investigation/Incident Report o Medical report/Specialist report o Medical bills from the third party o Indicate whether there were any warning signs or reasonable precautions taken to prevent the incident o A sketch of the area where the incident occurred o Estimate of claim |
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Disclaimer SPA is a registered malaysian insurance agency representative. This guide is designed to provide you with general information in the event of the Public Liability Insurance underwriting, scope of coverage, claim in Malaysia that may be covered by this insurance program. This guide was written on May 4, 2010, and is not continuously updated and monitored and may be out of date by the time you read it. This guide does not constitute legal advice, which is given only in the context of an attorney/client relationship after giving specific consideration to the unique facts of the matter, including the specific policy language. Note that policy language differs and may require different or additional steps. The steps in other jurisdictions may not be the same. For specific advice, consult with an attorney (lawyer) licensed to practice in your jurisdiction. |
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