Running a business means juggling a lot of moving parts, and it’s easy to overlook how small oversights can snowball into big problems. One of the most common issues we see as commercial insurance and mortgage brokers is liability claims caused by negligence.
But what does negligence actually mean? In plain terms, it’s when someone fails to take reasonable care and that lapse ends up causing harm or loss. It’s not about doing something on purpose – it’s about carelessness that leads to damage.
To prove negligence, four elements usually need to be shown. First, there has to be a duty of care – a legal responsibility to act in a certain way. Second, there’s a breach of duty – not meeting that standard. Third is causation – the breach actually caused harm. And finally, there must be damages – a real injury or financial loss.
For small businesses, negligence can creep in through day‑to‑day operations. A few common examples include:
- Poor property upkeep – think wet floors, uneven steps, or loose handrails that lead to customer slips and falls.
- Inadequate staff training – if team members don’t know how to handle equipment safely or follow correct processes.
- Defective products or services – supplying something faulty that causes harm.
- Skipping regulations – missing industry safety checks or not keeping up with compliance standards.
Even if you never intended harm, a single incident can lead to hefty legal fees, compensation payouts, reputational damage and higher premiums in future.
The good news is that protecting yourself is often about putting a few solid habits in place. Carry out regular risk assessments, keep proper records, and make sure staff are trained and processes are documented. Stay on top of industry rules and, crucially, have the right liability cover in place.
That’s where we can help. At Protect Insurance, we’re experienced commercial insurance and mortgage brokers, and we understand the pressures small businesses face. We’ll work with you to find cover that fits your risks – so if the worst happens, you’re not facing it alone.
If you’d like to review your current policy or talk through areas where you might be exposed, give our friendly team a call on 02921 677140. A little preparation today could save your business a lot tomorrow.
