Whether you’re just starting out as a new business or it’s just time to review your policies, this blog will help you consider the different areas you need to be covered for by your insurance policy. The types of cover you will need will depend on the type of business you have and the risks you need to protect yourself against. It’s not worth taking the risk if there is a chance you could be found liable in the event of a claim or suffer a loss due to lack of insurance. Below, the key types of business insurance policies are outlined:

Key types of Business Insurance

Employers Liability

If your business employs people, you are legally required to have Employers Liability Insurance. This can cover you against claims made by your employees regarding injury and illness as a result of their work. As you are responsible for your employees, you must to have this cover in place.

Public Liability

Arguably, the second most important policy is Public Liability Insurance. This provides cover for death, injury or property damage to a third party. Therefore, it could protect you from claims made by customers or any other third party who comes into contact with your business. For example, a member of the public may trip and fall in your premises or have their property damaged which results in them making a claim against your business. Public Liability Insurance is especially important for tradesmen, other services and shops who come into contact with the public regularly. However, this is still an important policy to have if you operate your business from home and have visiting customers or clients.

Business Buildings

Most businesses will need premises to operate from. Even if your business operates from your home, you should still consider a specific policy or a Home Insurance with Business Use policy. This is because your standard home insurance is unlikely to cover you for business related incidents, even if it is just administrative work. If you rent your business premises, you will need to check with your landlord to see which policies are already in place.

Business Contents

This can protect your tools and equipment if they’re damaged or stolen. It can cover many items from furniture to computers depending on your policy. If you’re a tradesmen or contractor and maybe don’t have premises, you will still want to insure your tools. Most insurers provide a tailored tradesperson policy which can provide cover for this.

Stock and Product Liability

If your business has stock stored on your business premises, you may want to insure that too. Stock Insurance can cover you for damaged or stolen stock. This could save you a fortune in the event that stock needs to be replaced following an insured incident. Additionally, if you sell products, you may also want to consider Product Liability Insurance. This can protect you from any claims made regarding a product that you have provided to a customer, regardless of whether you manufactured it.

Business Interruption

Business Interruption Insurance can protect you if you are no longer able to operate, due to a physical event such as a fire or flood. This policy can cover you for the losses sustained as a result. However, it is unlikely that this type of insurance will cover you against circumstances such as Covid-19.

Business Legal Protection

This can cover you for any other unforeseen legal costs that you may face. No matter how carefully you run your business, there may be unexpected events that lead to legal proceedings. For example, these can include employment tribunals and data protection claims. Legal proceedings can be incredibly costly and potentially ruin businesses without adequate legal protection in place.

Personal Accident Insurance

You may want to take out Personal Accident Insurance depending on the nature of your business. In the event of serious injury or death caused by a work-related accident, this insurance can provide compensation. We can also cover loss of income and medical costs.

Professional Indemnity

Lastly, you may need Professional Indemnity Insurance if your business gives advice or handles intellectual property and client data. Professional Indemnity can cover your legal costs and compensation claims if a client sues you . If you provide a professional service such as accountancy or surveying, you may be required by your regulator to have this insurance in place in order to trade.

If you are unsure of which policies are important for your business or would like to discuss new or existing cover, please contact us or call 01925 989641