Business

What Kind of Business Insurance Do You Require?

What Kind of Business Insurance Do You Require?

Business insurance is a crucial aspect of building any startup. Depending on the type of business you own, it is vital to have business insurance in your possession to ensure that your company and its assets are always protected against liabilities. There are a number of types of insurance that you might consider opting for according to the nature of your business as well as your requirements.

Let us check them out!

1. Public Liability Insurance

This is one insurance that you must definitely have as a business if your business involves being involved with the general public at large in any manner. This insurance can be a lifesaver and can protect you from injury, damage, or compensation claims made by consumers, suppliers, or clients. It is common for most businesses to be protected by this insurance.

2. Employers’ Liability Insurance

You will also be required to have employers’ liability insurance as a mandate if your company employs individuals. This insurance will cover you against all kinds of compensation claims relating to illness, damage, or injury suffered by your employees whilst at work. That said, some businesses are exempt from this particular insurance and to check if you are too, you can browse through the guidelines of the Health and Safety Executive.

3. Professional Indemnity Insurance

If your company deals with intellectual property, client data, or offers professional advice to other businesses, you must have the Professional Indemnity Insurance. This insurance protects you against compensation claims in events like your clients suing you for the wrong advice that costs them huge chunks of money.

4. Business Contents Insurance

A business or company is made up of some pretty expensive equipment and tools depending on the nature of the business activities. Therefore, if your business dealings involve some expensive assets as well, it would be a good idea to get Business Contents Insurance that will protect you against destroyed, damaged, stolen or lost items of your property. Hence, this insurance will cover the cost of repairs or replacements that you might have to incur.

5. Business Buildings Insurance

This insurance is another priority irrespective of where you work from. It is crucial that you check with your landlord regarding this coverage in case you work from a rented building.

6. Product Liability Insurance

This insurance covers you against claims of injury due to an allegedly faulty product that you might have sold to a customer. Irrespective of whether or not you manufactured the specific product in question, you will be held liable for the injury. However, you can protect yourself against all such claims by having this insurance.

7. Stock Insurance

If your company holds any kind of stock in storage or on your premises, it is a good idea to get Stock Insurance. This is because in case your stock is damaged, destroyed, stolen, or lost, this insurance will cover the costs of replacement or repair that you might have to incur.

8. Business Interruption Insurance

Another essential insurance that you must consider for your business is Business Interruption Insurance. Disasters do not strike with a two weeks’ notice, and hence, in the event of a natural disaster of any kind such as an earthquake or a flood, this business insurance will protect you against damage or injury to help you recover from the loss. Therefore, if the contents of your business are insured, you can claim compensation for the revenue loss you have incurred because of the unpleasant event.

9. Personal Accident Insurance

This insurance covers death or a serious injury you have suffered due to an accident. According to your policy limit, this insurance will cover all your medical costs as well as hospitalisation and lost income as well. You can receive up to £10,000 in case of an injury and £20,000 in case of sudden death due to an accident.

10. Business Legal Protection Insurance

Finally, you might also want to consider owning Business Legal Protection Insurance or Business Legal Expenses Insurance as it is also sometimes called. This insurance protects you against all kinds of legal actions that have been brought against your business or you as well as covers the cost of all legal expenses should such an event take place. Therefore, depending on the nature of your business, it might be beneficial for you to consider getting this insurance for your business.

Final Words

The list of insurances you can avail for your business is quite extensive, and if you find yourself confused, it might stand you in good stead to have a financial adviser in your corner. Fortunately, DNS Accountants offers some solid financial advice where your accounts are concerned and also helps you get the best coverage to stay protected in regards to your business activities. For further details, get in touch with us through our website and rest easy!

About the Author:

Sumit Agarwal
, A specialist accountant and tax adviser for freelancers, contractors and small businesses since 2005, He is an expert in business growth and development strategies. A renowned tax expert for owner managed businesses and contractors, He won the British Business Forum’s Young Entrepreneur Award in September 2012, presented at the House of Commons by MP Vrinder Sharma.