Compare online
Public liability insurance in Victoria
Public liability covers claims for injury and property damage caused by your business. In Victoria, councils, contracts and leases usually set the limit, stamp duty on business insurance is being phased out, and residential building has a new home warranty scheme.
- No phone number needed to request quotes
- Tools and a business pack in the same request
Do you need public liability insurance in Victoria?
It isn’t compulsory for every Victorian business, but you’ll often be asked for it. The City of Melbourne asks for a copy of your public liability policy with $20 million cover for footpath trading permits. Head contractors, landlords and event organisers set their own minimums.
The ABS counted 773,986 actively trading businesses in Victoria at 30 June 2026, up 2.6% in a year, and about two thirds of Australian businesses have no employees. Most of the requests for a certificate of currency described below come from that base of small operators.
business.gov.au notes that some states and territories require public liability for certain occupations, so check your licence conditions as well as anything you’ve signed.
Where Victorian businesses are asked for it
| Situation | What to check |
|---|---|
| Footpath trading in Melbourne | The City of Melbourne asks for $20 million public liability. Other councils set their own limits. |
| Subcontracting on a building site | The head contractor’s minimum limit, and a copy of your certificate of currency before you start. |
| Domestic building work over $20,000 | For eligible contracts signed from 1 July 2026, builders must buy Home Warranty on the homeowner’s behalf, from the Building and Plumbing Commission. It’s separate from public liability. |
| Leasing a shop or office | The insurance clause in the lease, which usually sets a minimum limit. |
| Employing workers | WorkCover insurance with WorkSafe Victoria if you pay more than $7,500 in rateable remuneration a year, or hire any apprentice or trainee. |
What public liability costs in Victoria
The premium depends on what you do, your turnover and staff, your claims history and the limit you choose. GST is added, then Victorian duty on business insurance: 7% from 1 July 2026 to 30 June 2027. The rate falls by 1% a year until it’s abolished, so check the current rate each July.
Our public liability cost guide compares stamp duty in every state.
What it covers
Usually covered
- Injury to customers and the public. A visitor is hurt on a site you’re working on.
- Damage to other people’s property. You damage a client’s floor, fence or driveway.
- Legal costs of defending a covered claim.
- Products you sell, when products liability is included.
Usually not covered
- Your workers’ injuries. That’s WorkCover insurance.
- Defective domestic building work. That’s Home Warranty.
- Your own tools and property. These need their own cover.
- Advice or design mistakes. That’s professional indemnity.
The full list is on our public liability insurance page.
Two Victorian covers that get mixed up with public liability
Each is separate, with its own rules.
- Home Warranty (Building and Plumbing Commission).Replaced domestic building insurance for eligible contracts from 1 July 2026. It covers homeowners when work is incomplete, defective or non-compliant and the builder can’t or won’t fix it.
- WorkCover insurance (WorkSafe Victoria).Covers your workers. If you don’t register when required, WorkSafe can recover the cost of claims from you. Workers compensation
How to compare public liability in Victoria
Public liability in Victoria: questions
Is public liability insurance compulsory in Victoria?
Not for every business. Councils, head contractors, landlords and event organisers commonly require it, and some occupations do too. Check your licence conditions and anything you’ve signed.
How much public liability do I need for footpath trading in Melbourne?
The City of Melbourne asks for $20 million. Other councils set their own minimums.
Is there stamp duty on public liability in Victoria?
Yes, but it’s being phased out. Duty on business insurance is 7% from 1 July 2026 to 30 June 2027, falling by 1% a year until it’s abolished.
What replaced domestic building insurance in Victoria?
Home Warranty, for eligible domestic building contracts signed from 1 July 2026 on work over $20,000. The Building and Plumbing Commission is the only provider.
When do I need WorkCover insurance in Victoria?
If you pay more than $7,500 in rateable remuneration in a financial year, or hire any apprentice or trainee.
Keep reading
More by state
Sources
- business.gov.au: Types of business insurance
- City of Melbourne: Footpath street trading
- City of Melbourne: Public liability insurance
- Victorian Government: Home Warranty insurance
- Building and Plumbing Commission: Domestic building insurance and Home Warranty
- State Revenue Office Victoria: Insurance policies, current rates
- WorkSafe Victoria: Do I need to register for WorkCover insurance?
- ABS: Counts of Australian Businesses, including Entries and Exits, July 2022 to June 2026
Victoria