Every business needs insurance. And there are good reasons why getting business cover should be top of your to-do list. For example, if you’re a pub landlord, pub insurance could protect you if someone is hurt on your premises. If you’re a beautician, aesthetics insurance covers your staff, treatments, and reputation. And if you own commercial property, business property insurance will cover the cost of repairs or rebuilding.
So why do you need business insurance, and what cover is right for your organisation?
Why do I need business insurance?
First and foremost, you need insurance to protect your business against risk. Accidents happen, and without cover, you’ll end up paying those costs out of your own pocket.
The right insurance can also help you avoid a hefty fine. For example, employers’ liability insurance is a legal requirement if you have staff, and you could be fined £2,500 a day by the HSE if you’re not covered.
What business insurance should I get?
You can cover a specific business, for example, with restaurant, cafe or pub insurance. Or you can build bespoke cover or fill in any gaps with these business essentials:
Employers’ liability insurance
Whether you have one to one thousand employees, employers’ liability insurance is a legal requirement. If an employee is hurt, injured or becomes ill due to their work, this insurance covers the cost of any compensation claim.
Public liability insurance
If you’re a public-facing organisation, public liability insurance is a must-have. For example, let’s say a client trips and hurts themselves while on the premises, or you damage their property in any way when working in their home. Accidents can and do happen; if your business is responsible, you could face a hefty compensation claim.
This insurance will protect you against claims for damages or injury, picking up the bill and keeping your business up and running. It’s the primary reason why shops, restaurants, beauticians and trades get covered by public liability insurance.
Professional indemnity insurance
If you’re a surveyor, architect or accountant and you belong to a professional regulator, the chances are you’ll need professional indemnity insurance. If you offer advice, knowledge or skills that could result in loss of sales and damage to a client’s reputation, you’ll be covered for legal fees and claims.
Business property insurance
Business property insurance should be top of your list whether you work from home or business premises like an office, shop, salon or pub. It doesn’t make a difference what type of property you use – there’s always a risk of damage from fire, flood, storm, vandalism or an accident that’s not your fault.
This type of damage can be costly to put right. And your business could be out of action for months at a time. So business property insurance can get you back to work fast as the insurer picks up the bill.
Business contents insurance
If your business relies on computers, tools, or machinery to keep it ticking over, it’s well worth getting business contents insurance. You’ll be covered for the cost of replacements if your contents are stolen, damaged or destroyed. However, if you regularly take tools, laptops or phones outside the office, make sure you have portable equipment cover included.
If you hold any stock on your premises, check whether it’s included in your business contents insurance. Otherwise, you may need to take out separate stock insurance.
Product liability insurance
You can be liable for any damage caused by a faulty product you supply, even if you didn’t manufacture it. Which is a good reason to take out product liability cover for items you design, repair or sell.
Business interruption insurance
If you need to keep your business finances going when your business can’t operate, business interruption insurance is a must. For example, if an unforeseen event like a fire or flood prevents you from trading, business interruption cover can get you back on your feet.
D & O insurance
It’s worth considering protecting critical individuals in positions of responsibility with Directors’ & Officers’ insurance. It’s essential insurance if you’re seeking to reassure potential investors that your business is covered against compensation and legal costs.
If your business couldn’t operate without vital individuals, key-man insurance can keep your business going and compensate you for financial losses due to death or illness.
Most modern businesses rely on technology. And that can leave you vulnerable to cyber-attacks. Cyber insurance protects your business against lost and damaged data caused by hacking, a security breach or an IT failure.
Cover your business with SJL
In a constantly evolving world, SJL gives your business peace of mind. Our entrepreneurial approach delivers market-leading insurance products for every sector, so you get the cover you need without the legwork. Contact us today to find out how SJL can get you covered.