Every business faces risks right from the day of start-up and can be vulnerable to legal problems or other events before they have the time to get properly established. Getting the right type of insurance for your business is essential, and it should be set up as soon as possible.
Employer liability insurance
As soon as you hire your first employee, you will need insurance to cover compensation in the event that a worker has an accident or suffers illness as a result of working for your company. In fact, it is the law; not having adequate insurance can result in costly fines.
Professional liability insurance
Also known as errors and omissions insurance, professional liability insurance covers any claim that might be a result of mistakes made in the course of your business. The types of errors and omissions can vary from industry to industry, so the insurance policy is often customised based on the type of business.
Home-based business insurance
Many new businesses start life being run from home, and it’s easy to overlook the fact that home insurance isn’t sufficient to cover a home-based business. Look for a local insurer who can advise you on the various types of insurance your business needs on top of your home contents insurance. If you’re looking for more than just an insurer, consider a local one-stop commercial funding specialist like http://www.choicecommercialfinance.co.uk/, a business finance broker in Gloucestershire.
Product liability insurance
This applies to any products your business manufactures and covers claims against damage caused by one of your products. Like professional liability insurance, product liability insurance will be customised depending on the nature of the goods manufactured.
Property and vehicle insurance
Just as you must insure your home and your car, your business’s property and vehicles should be insured as well. Vehicle insurance will be similar to private vehicle insurance, while property insurance will include inventory, equipment and signage against damage or theft.
Business interruption insurance
If something catastrophic enough to stop your business from operating occurs, you start to lose money from the minute business stops. Business interruption covers any losses caused by a disaster event.
These are just some of the types of insurance a business needs to protect itself against claims or catastrophic events. Talk to your insurer and make sure your business is covered.