The normal situation is that the landlord is responsible for the building insurance. If there is a tenant, however, that tenant is responsible for insuring their own property (i.e. the contents).

If the building is destroyed by fire, for example, there will usually be two insurance claims: one by the landlord for the building, and one by the tenant for the property. If it is found that the tenant caused or contributed to the fire (e.g. kitchen fire), the landlord’s insurance company may ask to be reimbursed by the tenant.

This is where public liability insurance comes in. Public liability insurance compensates businesses and organisations in cases of unexpected and unintended personal injury or property damage arising out of their business activities, which they may be legally liable for.

Some people assume that you cannot be sued in New Zealand. This is only true for personal injury. You may still be liable for property damage caused by your organisation, or even by one of your volunteers.

Some contents policies also include public liability insurance. You may want to consider this option when taking out general insurance. If your organisation has a car, consider a comprehensive car insurance or a comprehensive third party insurance policy.

Remember, it is always your responsibility to ensure that whoever drives the vehicle has the correct licence and is not under the influence. Failure to do so will void any protection that your insurance policy provides.