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Public Liability Insurance in Cyprus in 2024. Affordable public liability insurance in Cyprus.

Public Liability Insurance Cyprus

Also known as business public liability, public liability insurance is a type of business insurance that covers claims made against you by the general public.

Public liability insurance protects your company from the financial and legal implications of accidents arising from your business activities.

In this guide to business public liability insurance in Cyprus, we will examine the differences between public liability policies and various insurance contracts.

We will also help you compare the best contracts in Cyprus and discuss what constitutes the correct insurance product for your business needs.

Table of contents

  • What is public liability insurance?
  • What does public liability insurance cover?
  • Examples of public liability claims
  • What is the difference between personal and public liability insurance?
  • Public liability and professional indemnity insurance in Cyprus
  • Public and product liability insurance in Cyprus
  • Employers and public liability insurance
  • Do I need public liability insurance?
  • Self employed public liability insurance in Cyprus
  • Public liability insurance for small business in Cyprus
  • Public liability insurance cost in Cyprus
  • Affordable public liability insurance in Cyprus
  • Best public liability insurance in Cyprus
  • Public liability insurance quote in Cyprus

What is public liability insurance?

Public liability insurance is a liability cover specifically designed to cover your business if a client or member of the public claims they were injured or suffered property damage resulting from your business activities.

It also covers accidental death (i.e. if your business activities caused the death of a client or member of the public).

Generally, public liability insurance refers to business insurance that covers claims made by the general public for medical expenses, defense costs and other expenses resulting from injuries, death, and property damage involving your business.

What does public liability insurance cover in Cyprus?

In terms of insurance products, public liability insurance in Cyprus can mean two things:

  1. Premises liability insurance
  2. General public liability insurance

Premises liability insurance

This coverage is the most common public liability policy in Cyprus.

Premises liability insurance only covers you if an incident occurs inside your company’s premises, for example, in offices, shops, or factories.

Most business insurance contracts or business owner policies (BOP) in Cyprus include premises liability insurance.

General public liability insurance

General public liability insurance covers you from claims involving bodily injuries, accidental death and property damage resulting from your products, services or operations.

Unlike premises liability, general public liability policies protect your company against third-party claims regardless of whether the incident occurred within your premises.

In other words, this type of insurance also covers outdoor activities.

For example, imagine if an electrician you hired caused damage by accidentally breaking a window when carrying his tools inside your home. This type of damage would be covered under the electrician’s general public liability insurance.

General public liability insurance might also include product liability, claims of defamation or copyright infringement.

What doesn’t public liability insurance cover?

Public liability insurance does not cover employer injuries while they’re working within or outside of your company’s premises.

Employer injury claims can be covered under an employer liability insurance policy.

Also, public liability insurance does not cover professional indemnity insurance claims.

Examples of public liability claims

Here are common scenarios that result in public liability claims.

Slips, trips, and falls

These types of accidents are the most common cause of public liability claims.

Slips, trips, and falls occur across many sectors and for a variety of reasons. Not only can they cause personal injury, but damage to third-party property as well.

Some of the most reported reasons for these accidents are broken flooring, spillages, and failure to use signage to indicate a wet floor.

Falling objects

Another common reason for public liability claims often comes from above by way of falling objects. Although, the falling object may be suspended on a wall.

For example, a mirror came loose from the nails holding it in place, or a piece of wall art held by broken strings fell to the floor.

Whether it’s something that fell from a height, or a faulty fixture, falling objects can cause severe injury and property damage resulting in personal injury and property damage claims against you.

Defective products

If your business is involved somewhere in the product manufacturing or selling supply chain, you are at risk of liability claims arising from defective products.

Defective products can injure someone and result in personal injury claims against your company. Most standard public liability policies come with product liability coverage which this type of claim may be covered by.

However, even if your business doesn’t sell products, claims can still come about due to defective products.

There are cases when you may be held liable for defective products even if your company doesn’t manufacture or sell products.

For example, a client may take legal action if you held a meeting in your office and a faulty chair injured them. In that case, public liability may cover the claim, legal costs, and any compensation owed to the client.

Building and construction failures

Injuries arising from building and construction failures often involve serious claims.

These claims are more industry-specific and affect those working in the construction industry the most. However, no matter what industry you work in, you may be responsible for building failures that cause an injury on your premises if you lease that property.

As a landlord or someone who leases their premises, you may be liable if you don’t identify potential hazards and report them to the construction company.

What is the difference between personal liability and public liability insurance?

Personal liability insurance covers damage or injury compensation claims made against you as an individual (i.e. natural entity) by a third party, while public liability insurance is the commercial version of this type of insurance.

Public liability covers compensation costs if someone makes a damage or injury claim against your business.

Public liability and professional indemnity insurance in Cyprus

When signing a deal with a large international company, companies based in Cyprus often have a contractual obligation to acquire business insurance from a reputable provider.

In most cases, international companies will require you to carry general public liability and professional indemnity insurance.

In addition, companies working in the technology industry may be required to carry cyber insurance and multimedia insurance.

What’s the difference between public liability insurance and professional indemnity insurance?

The primary difference between these insurances is that public liability is tailored for claims made by members of the public for injury, illness or damage, whereas professional indemnity covers claims made by clients for professional mistakes or negligence.

In simple terms, public liability insurance covers claims related to non-professional accidents.

In contrast, professional indemnity insurance covers claims related to professional errors and omissions.

Public liability and professional indemnity insurance claim examples

Public liability claim: A business owner accidentally knocks over a cup of coffee on a client’s laptop resulting in a public liability damage claim.

Professional indemnity claim: A lawyer breaches confidentiality, resulting in his client losing money and filing a lawsuit against him (and a professional indemnity claim).

Public and product liability insurance in Cyprus

It is possible to buy the following coverages in one policy, often called business insurance.

  1. Public liability
  2. Products liability
  3. Employers liability

What is the difference between public liability and product liability insurance?

Public liability and product liability insurance are not the same things, and they have distinct differences.

Product liability is not offered as a standalone product. Most insurance companies in Cyprus provide product liability as part of public liability insurance or business insurance (as mentioned above).

One similarity between these types of insurance is that both cover third-party claims for injury or damage to property. However, each insurance will react in different circumstances.

While public liability insurance reacts in circumstances in relation to the delivery of your services, product liability reacts in relation to products you have manufactured, supplied, or sold.

Public liability is in place to protect you in the event you cause injury to or damage the property of a third party in the delivery of your services.

For example, if a wire on your office floor causes someone to fall over, and they take legal action against you, this could give rise to a public liability claim.

Product liability is in place to protect you in the event you sell faulty products that cause a third party bodily injury or damage to a client’s property. The fault could be due to a manufacturing or design defect or a failure to provide adequate warnings.

For example, if a toy manufacturer sells a defective toy and a child is injured while using it, product liability insurance is activated and results in a product liability claim.

Public liability insurance Cyprus

  • Covers defence costs and legal liability to third parties.
  • It’s not a legal requirement but is sometimes required for certain client contracts.
  • Suitable for any company and indispensable for those in the construction industry.
  • Allegations of bodily injury or damage to property due to your services result in claims.
  • The claim incident must occur during the insurance term (or claims-occurring).

Products liability insurance Cyprus

  • Covers defence costs and legal liability to third parties.
  • Carrying a contract is not a legal requirement but can prove invaluable.
  • Companies that sell or manufacture goods will benefit from this insurance.
  • ​Allegations of bodily injury or damage to property due to your products result in claims.
  • The claim incident (at the time of damage or injury, not when the sale was made) must occur during the insurance term (claims-occurring).

Employers and public liability insurance

Employers liability insurance is obligatory in Cyprus. The minimum coverage is €160,000 per employee.

The main difference between employers and public liability insurance is that while public liability handles claims from third parties (e.g. clients and visitors), employers liability covers claims from employees injured in the workplace.

What’s the difference between employers liability and public liability insurance?

A primary difference between public liability and employers liability insurance is defined by what situations these coverages handle and who might file a claim.

If someone inside your company files a claim, employers liability insurance will go into effect. In contrast, if someone outside your company files a claim, that’s covered by public liability insurance.

Employers liability insurance Cyprus

This type of insurance protects your company from work-related illness or injury claims made by employees.

As your employee’s health and safety are your responsibility while at work, you may be liable if they suffer an injury while working for you.

Employers liability insurance would cover legal defence costs and any compensation owed to the injured employee.

Will public liability insurance cover employee claims?

No, public liability insurance only goes into effect for claims made against you by a member of the public or a client.

Public liability insurance does not cover you for claims made by employees. For that, you need employers liability insurance.

Do I need to carry employers liability and public liability insurance?

The answer to this question depends on what your needs are. Regarding legality, employers liability insurance is required by Cypriot law (if you hire staff), whereas public liability insurance isn’t.

Do I need public liability insurance?

While employers liability insurance is obligatory in Cyprus, public liability insurance is not.

However, public liability insurance can prove invaluable, and you may find a deal for both insurance contracts that work for you.

For example, Pitsas Insurances provide the option to acquire public liability on employers liability insurance or business insurance, with a small additional cost of €50 annually.

Business lawsuits in Cyprus have skyrocketed in the last ten years, so acquiring both coverages is worthwhile.

Public liability coverage is essential to protect your business against third-party claims to continue the successful operation of your company.

Self-employed public liability insurance in Cyprus

If you’re a sole trader or a freelance, self-employed person, you may need public liability insurance to protect your business.

Do I need public liability insurance as a self-employed person?

Even though public liability insurance isn’t a legal requirement, you may need it if you or your business interacts with the public.

Public liability insurance Cyprus

No matter the size of your operation or what industry you work in, you may be held liable if you accidentally injure someone or damage their property.

Similarly to the examples given throughout this guide to business public liability insurance in Cyprus, your legal costs and any compensation will be backed by your public liability coverage.

Without public liability insurance, you might face out-of-pocket costs.

Do I need public liability if I work from home?

You may need public liability insurance as a self-employed person if clients visit your home for business purposes.

You could be liable if a client is injured or their belongings are damaged in your home, and standard home insurance typically doesn’t cover business-related claims.

It’s a good idea to let your home insurance provider know if you’re working from home. They can inform you what is covered by your policy and help you properly insure your company and business equipment.

To learn more about business public liability insurance in Cyprus, view our FAQ here

Public liability insurance for small business in Cyprus

At Pitsas Insurances, we believe that all companies, regardless of size, should have the right to acquire affordable public liability insurance.

We have thus created special packages for small businesses.

Our business insurance packages include public liability, employers liability and content insurance at a price 25% less than most providers on the market.

Public liability insurance cost in Cyprus

The cost of business public liability insurance in Cyprus depends on the following factors:

  • Your annual turnover.
  • The condition of your company’s premises.
  • The type of machinery you are using in your company.
  • The type of business (premiums are higher if your company is involved in labour work).
  • Whether you keep dangerous assets in your business (such as chemicals, acids, radioactive substances).

How much is public liability insurance?

The average cost for public liability insurance in Cyprus is €250 annually.

Affordable public liability insurance in Cyprus

Pitsas Insurances offers one of the cheapest public liability insurance plans in Cyprus.

We have introduced new policies to help small businesses acquire public liability insurance at a very affordable rate.

Public liability insurance Cyprus

Our business package premiums start from €50 per year.

Best public liability insurance in Cyprus

We are confident that we provide the best public liability insurance in Cyprus and pride ourselves on what we offer.

Pitsas Insurances beats other providers with the lowest premiums on the market, and additionally, we also have the highest claim handling satisfaction ratio.

Our experienced insurance consultants will help you pick the best policy suited to your needs and help you save thousands.

Public liability insurance quote in Cyprus

No matter the size of your business, accidents can occur at any time.

Public liability insurance from Pitsas Insurances will help to cover any legal costs and compensation payments resulting from accidental injury or property damage.

Public liability insurance compare

To view and compare our public liability insurance products, please see here.

Public liability insurance Cyprus

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Pitsas Insurances Team


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