Which type of insurance protects against the legal liabilities arising from injuries to third parties?

Public liability insurance is specifically designed to cover legal liabilities that arise from injuries or damages suffered by third parties as a result of the activities of a business or an individual. This type of insurance provides essential protection against claims made by members of the public for bodily injury or property damage that occurs on the insured's premises or as a result of their operations.

For example, if a customer slips and falls in a store and sustains an injury, public liability insurance would help cover the legal costs and any compensation the store owner may need to pay if they are found liable. This makes it a critical safeguard for businesses that interact with the public, ensuring they are protected from potential financial burdens arising from such claims.

In contrast, other options serve different purposes. Professional indemnity insurance is tailored to protect professionals against claims of negligence or breach of duty in the services they provide. Workers' compensation insurance provides coverage for employees who suffer work-related injuries, safeguarding employees and employers. Property insurance protects tangible assets like buildings and contents, rather than covering liabilities towards third parties.