What Businesses Need to Know About Liability When an Injury Occurs on Their Property
Slips, trips, and falls can happen in the blink of an eye.
Whether it’s a customer slipping on water or snow from the entrance or someone tripping on equipment while touring your establishment, it’s important to know what to do when an injury happens on your property.
The reality is that your business is at risk the second an injury occurs. Understanding out of court injury agreements and how they work is one of the best ways to protect yourself and your business before it happens.
In This Article:
- What Is Premises Liability for Businesses?
- What Businesses Are Legally Responsible For
- How the Out of Court Injury Agreement Process Works
- What to Do When Someone Gets Hurt on Your Property
Read on to learn everything you need to know about liability when an injury occurs on your property.
What Is Premises Liability for Businesses?
Simply put, premises liability refers to legal responsibility when someone is injured on your property due to negligence.
Slip and fall accidents alone account for over 8 million emergency room visits per year. Many of these accidents occur on business properties.
They’re also one of the most common premises liability claims a business will face. That’s why knowing about things like the average settlement for an injury at work can help you properly prepare if the situation ever arises.
When someone is hurt on your property and negligence is involved, they have a right to seek compensation.
In most cases, the injured party and your insurance company will negotiate an out of court injury agreement.
Businesses in California should first research personal injury settlements in San Diego before anything else.
Local rules impact how settlements are calculated and negotiated. Being aware of them can mean the difference between your insurance company lowballing you or overpaying on a claim.
The median award for premises liability cases is $90,000 according to the DOJ.
This is worth noting. Injuries can be costly, and now you know exactly how costly.
What Businesses Are Legally Responsible For
Every business has what’s called a duty of care.
If you open your doors to the public or have employees on-site, you must keep your property reasonably safe. When you don’t, you’re legally liable for injuries that occur as a result.
Duty of care includes things like regularly inspecting your property for hazards and repairing any dangerous conditions within a reasonable amount of time.
You must also warn visitors of known hazards that you haven’t had the chance to fix yet. Other examples include:
- Keeping adequate lighting
- Maintaining entrances, exits, and walkways
The biggest mistake business owners make is assuming that liability requires some kind of catastrophic event.
But insurance claims can happen from a single wet floor. Opening cabinet doors at a store are the leading cause of trips and falls. Liquor stores, supermarkets, and restaurants had the highest rates of injury.
Negligence doesn’t require intentionally causing someone harm. Simply not noticing a problem and fixing it in a reasonable amount of time can result in a successful injury claim against your business.
How the Out of Court Injury Agreement Process Works
Negotiating an injury claim is where most businesses realize they need help.
Research shows that 95% of personal injury lawsuits end with a pre-trial settlement. Basically, the vast majority of injury claims are settled out of court.
Trials are a risky and costly investment for everyone involved. Having to pay more money into a lawsuit is the last thing any insurance company wants.
In general, the out of court injury agreement process looks like this:
- Injured party files a claim or demand letter
- Negotiations between both parties begin (usually through lawyers)
- The settlement amount is agreed upon based on damages
- Injured party signs a legal release form waiving their right to sue
Of course, there’s more to an out of court settlement than what’s listed above. A few things that can impact the settlement amount include:
- Type/severity of the injury — more serious injuries equal larger payouts
- Medical expenses — treatments and costs going forward
- Lost wages — or ability to earn a living
- Validity of negligence evidence
- Representation (lawyers) on both sides
Statistics show that 67% of all personal injury payouts are a result of a settlement.
Not a trial verdict. That should tell you where businesses tend to fight these claims.
Hiring a lawyer to represent you and your business is always recommended. Entrusting your injury claim to someone with experience will provide better chances at a favorable outcome and save you from future claims if your release isn’t drafted properly.
What to Do When Someone Gets Hurt on Your Property
The first reaction isn’t always the best reaction when it comes to injury accidents on your property.
In most cases, it’s emotionally charged and difficult to think about anything other than the injured person. Take that into consideration when reviewing what to do if someone gets hurt on your property.
Step 1 — Help the Injured Individual. If necessary, call for emergency medical services. Document that you offered aid.
Step 2 — Take Photographs of the Accident Scene. Take clear photos of the hazard. Include pictures of the surrounding area, lighting conditions, etc. Do this before anything is cleaned up or moved.
Step 3 — Get Contact Information for Witnesses. Get names, numbers, and a brief statement from witnesses while it’s fresh in their mind. Written statements made the same day hold more weight.
Step 4 — Write an Incident Report. Create a written document explaining what happened. Include the date, time, location, how the accident occurred, and who was involved. Do this on the day of the incident.
Step 5 — Promptly Notify Your Liability Insurance Provider. Quick notice is always better. It preserves your right to coverage and ensures the claim will be handled correctly.
Step 6 — Consult Your Attorney. Get someone you trust that specializes in premises liability soon after the accident occurs.
Helping someone after they’re hurt on your property is never a bad idea. But trying to keep it quiet and dealing with it yourself is always a recipe for disaster.
Your goal is to give yourself every advantage when negotiating a claim. Documenting as much information as possible helps.
The Final Word
Liability is a serious concern for business owners every time your property is open to the public.
The good news is most claims are resolved through negotiated out of court injury agreements. They save your insurance company time and money by avoiding trial.
Reaching a favorable outcome starts with preparing ahead of time and knowing what to do if an injury occurs on your property.
- Know what your duty of care is and uphold it
- Document, document, document
- Understand that injury claims have real financial consequences
- Never negotiate a claim or injury agreement on your own
- Be prepared before an injury happens
