Small business insurance is there to protect you from yourself and others
You need to protect yourself. It could be that you are at fault or you suffer from a third party’s faults, a random event or even at the hands of mother nature, but having the correct level of insurance cover is an essential business practice for you, employees, franchisees and your customers. Not all insurance is compulsory, but investing in other types of insurance can be a sensible precaution – they can make your business stronger, safer and more efficient. Insurers will help you identify the wide range of risks you face, particularly those you may not be aware of, but don’t rely on one opinion, it’s a competitive market place. Insurance provides the financial help to get you back on track through replacement, repair or reinstatement.
Some types of business insurance are required by law, including Employer Liability Insurance, which covers the cost of compensating employees who are injured or become ill through work. It not only covers the cost of compensation to an employee, but also protects you and your business against the cost of any associated legal fees too. Of course, you must have your vehicles appropriately covered for business use, and it’s wise to check any employees or franchisees have their own correct levels of insurance. After all, they work as part of your business, even if they aren’t directly employed by you, and it’s your reputation and your duty of care.
You also need to worry about the public and your customers too. Public Liability Insurance covers the cost of compensation to members of the public for injury, death or damage as a result of your business’s negligence or a faulty product. Meanwhile, Professional Indemnity Insurance covers the cost of compensating clients if your professional advice causes them injury or loss of money.
Business premises and any stock stored there are also important components to protect. Unexpected damage from fire, flooding, burst pipes, theft and subsidence could stop your business functioning.
Digital assets are now part and parcel of all businesses and they bring with them new risks. Cyber Insurance protects against malicious cyber-attacks and non-malicious cyber incidents that compromise computer systems, such as data breaches, cyber extortion and damage to digital assets.
You are your business’s most valuable asset, so Life and Critical Illness cover can be invaluable for dependents and yourself if you find you are unable to work. Protecting an income helps ensure you can still pay the bills, and supports you in getting back to work.
Business insurance packages combine a number of different policies under one premium, so shop around to get yourself the most suitable cover at the best price. No one can predict the future, but it is always best to prepare yourself against the unexpected and remember that peace of mind is a valuable asset in itself.