Every business owner knows the importance of having the right insurance in place to protect their business. However, we appreciate it can be a highly complex topic, so here are some key facts about business insurance that you may or may not be aware of.
Did you know?
- Employers’ liability insurance is compulsory for any business that has one or more employees, even if they are part-time or temporary.
- Many businesses will underestimate the overall value of their assets. An effective way to ensure that you aren’t one of these businesses is to consider how much it would cost to replace everything that your business owns if it was destroyed by a fire. This should then give you a more accurate estimation of the overall value of your assets and means that if the worst-case scenario was to happen, you will be prepared.
- If you work from home, your home insurance may not cover your business activities; therefore business insurance is still necessary.
- Although public liability insurance is not a legal requirement like employers’ liability insurance, its importance should not be undervalued. If a member of the public was to suffer an injury as a result of interacting with your business, they are within their rights to make a claim against your business, which could be very costly.
- Small businesses are more likely to see an increase in legal action from their clients during an economic downturn.
- Professional indemnity insurance covers legal expenses and costs should a client make a claim, in addition to compensation for the claimant.
- The types of policies that your business will need and the cost of your premiums will likely be based on the following factors:
- Your businesses annual turnover
- The nature of your business
- The number of employees your business has
- Your businesses insurance claims history
- You can help to lower your business insurance premiums by reducing your business liability risk. For example, you could see a significant drop in your premiums by simply installing a security system at your premises. Shearwater’s experts can provide advice on the action you should take to make your business more secure.
Still unsure about your business insurance needs? Call us today on 01992 718666.