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  • Writer's pictureAmanda Bird

The Cost of Public Liability Insurance for Retailers

Updated: Nov 24, 2021

Starting your own retail business can be a good and profitable endeavour for any entrepreneur. However, it also means you’re facing a lot of risks that other industries may not typically deal with. Those risks require retailers to have the right insurance coverage to protect them from any potential losses. For instance, public liability insurance can be used to protect your business from any liability claims, property damage, accidents, or even theft. The question that most retail owners have in mind is, “how much does it actually cost? Let’s discuss and find out.

What is Public Liability Insurance?

In Australia and the UK, there is a form of insurance coverage called public liability insurance designed to protect business owners against claims coming from members of the public. It basically works like general liability insurance, which is common in the US. Some of the most typical coverage scenarios for public liability involve accidents such as slips and falls. While every retail business is different with its own particular set of risks, public liability insurance can be used to cover at least most of those risks.

What Does Public Liability Insurance Cover?

In Australia, there are two main risks that Australian businesses can protect themselves against with public liability. They are the following:

  1. Causing damage to another person’s property

  2. Causing injury or death to another person

Both of those risks are very much serious and can be quite costly. Also, the Australian legal system does allow people who have suffered such losses to sue the businesses responsible through the courts.

How Much Cover Does Your Business Need?

The retail industry is perhaps the most diverse industry that exists today. While other sectors focus on a particular product or service, retail focuses on selling but with a wide range of products from cosmetics to motorcycle accessories. With that level of diversity, the needs of every business and the kind of risk they’re exposed to can also vary significantly. As such, the type of cover needed will also depend on a range of factors, which only the business owner will know.

Insurers and insurance brokers also offer a range of levels of cover that could include anywhere between $5 million, $10 million, and $20 million. When deciding how much cover you need, you need to consider your industry and the likelihood of personal injury or property damage to a third party in your line of work.

How Much Does Public Liability Insurance Cost?

For a typical retail business, the average amount you can expect to pay for a public liability policy varies greatly. The cost of public liability insurance can go for as low as $300 a year up to thousands of dollars annually. There are a number of factors that influence the cost, similar to how other insurance policies work. When you apply to an insurer, the following factors will be considered:

  • The type of trade or occupation you’re in

  • The size of your business

  • The amount of coverage you need for your business

  • The types of risk your business is exposed to


Retail owners need to protect their businesses from any liability from third parties in the form of business insurance, particularly public liability insurance. The cost of getting one may be steep, but it’s a worthwhile investment that can work well against costly problems for your business.

New Wave Insurance works with several insurance providers to bring you the best possible solutions. We are one of Gold Coast’s premier insurance brokers helping businesses find the right insurance vehicle for them. With our three-step action plan, you’ll we can give you all the possible options suitable for you, and we just let you decide based on our recommendations. Contact us today to book a free 15-minute consultation!

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