Public liability insurance plays an important role in protecting both contractors and the people that they do work for.
But when it comes to the mining industry, having the right kind of public liability insurance is vital. Yet many contractors and small business owners who are involved in the mining industry may not be 100% sure what all the fuss is about – surely if you’ve got public liability insurance then you’re fully covered…right?
You may be quite surprised to hear that’s not exactly how it works. But to understand why mine site public liability insurance is so important you first need to know a few basic facts about insurance and the mining industry.
What is public liability insurance?
Public liability insurance is designed to protect a contractor or business owner, both legally and financially, in case they are ever found to be responsible for an accident or injury.
If you’re employed directly by a company then you’d come under the public liability insurance of your employer, but as a sub-contractor or small business owner, you need to take out your own policy. If you failed to do so and were found to be responsible for a workplace incident, then you’d be personally required to pay for property repairs, medical bills, legal fees – any costs arising from the incident.
Depending on how high these costs are, you could end up losing your business or filing for bankruptcy.
How is mine site public liability insurance different?
Surprisingly, many of the public liability insurance policies that are currently available will have clauses specifically excluding any incidents that take place on a mine site.
So, even if you already have public liability insurance, unless it is mine site specific you may not be protected if something happens while you’re working at a mine.
This is an alarming prospect considering the potential risks involved with working on a mine site, not to mention the enormous costs you could be liable for if the mine had to be temporarily shut down and the owner’s held you accountable for their loss of income.
To make sure you’re fully protected while working at a mine, you need to have a mine site public liability insurance policy.
Who offers mine site public liability insurance?
Many of the big insurance companies (such as NRMA or AAMI) will shy away from offering a mining contractor the necessary level of public liability insurance.
Rather than wasting time finding out who doesn’t offer this kind of insurance, your best option is to go directly to an insurer who has dedicated policies for mine site public liability insurance.
MineGARD is proud to offer these kinds of tailored insurance policies to small business owners and contractors who undertake work on active mining sites.
Our mine site specific public liability insurance offers comprehensive coverage at an affordable price and is underwritten by insurance heavyweight Lloyds, who have been operating in Australia for over 150 years.