Potential losses inside a business, such theft, fire, and fraud, are more easily discernible and listed in a SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats). But what of those outside the business such as a branded delivery vehicle ploughing into a crowded pedestrian area? This would fall under the laws of delictual liability and represents the largest exposure for any organisation.
The South African Law of Delict involves circumstances in which one person can claim compensation from another for harm suffered. Delictual liability is concerned with damages suffered by a person resulting from a wrongful act, or omission of another, for which that person is entitled to compensation in terms of our common law.
Chadwicks Insurance Brokers point out that, ‘In the past, South African courts, when compared to courts in western countries, have been conservative in their awards of damages. This trend has, however, come to an end with courts regularly awarding damages amounting to millions of Rands for injuries/damages sustained from a single incident.’
‘In the past, South African courts, when compared to courts in western countries, have been conservative in their awards of damages. This trend has, however, come to an end with courts regularly awarding damages amounting to millions of Rands for injuries/damages sustained from a single incident.’
Liability Insurance is Essential for any Business. All businesses are exposed to the public at large in some way or another, and thus liability cover is essential for any business operating in South Africa. There are many forms of public liability from obvious items such as defective workmanship liability right down to environmental impairment.
The recent fire at London’s Grenfell tower-block is a current and visible case in point that has been grabbing world headlines. Apart from death and injury resulting from the high-rise block which burnt, there are thousands of displaced people who have left tower-block apartments - equipped with similar exterior cladding to the block that caught alight so rapidly. The claims will be huge.
Reference:
http://www.chadwicks.co.za/?sid=1&pid=18
https://en.wikipedia.org/wiki/South_African_law_of_delict