So what is commercial insurance?
Simply put, commercial insurance is a protection for your business. From new start businesses to well established; If there is not enough cover then an unforeseen event can destroy your business.
With so many insurance products and providers, it would be easy to think that commercial insurance was a complicated matter. It does not need to be this way though. Commercial insurance is easily broken down into 3 key areas:
- Keep it legal
- how to Buy
Keep it legal
Some types of cover are required by law. Employers liability insurance, which covers claims from employees for accidents and illness that may result from working for your business, is a type of cover that must be purchased. You will also need to purchase at least third party motor insurance for all motor vehicles used by the company.
Ensuring that you have the right cover and protection is important, so time should be taken to ensure that you find a policy (or policies) that provide the level of cover you need. If you break your requirements then this is not a complicated task again:
Insure your people – Many firms are often dependent on people doing jobs. Insurance is available that will protect the business in the event employees are unable to work. The types of cover available include keyman insurance, income protection, director and officer insurance, and personal health and critical illness cover.
Insure common risks – Some risks are common to all businesses. These include fire, theft and equipment failure. It is worth checking (or having someone check for you) whether general risks such as building and materials insurance, money in transit and cover for goods and business interruption insurance can be covered under an all risk type policy . This can save your business time as well as money.
Specialist cover – Depending on your industry and requirements, often policies can be packaged together with some specific industry, with packages to cover specialist areas such as engineering or manufacturing. Other specialist covers available include public and product liability and professional indemnity covers.
how to Buy
Commercial insurance is often purchased using an insurance broker. The advantage of using a broker is that they are insurance professionals who can recommend policies to find the market to find you the best possible deal.
A good broker will provide a personalized service and understand your needs and your business. When looking for an insurance provider it is often worth looking into whether they are well established, have plans with leading insurance companies and whether they offer a local and personal service.
If you follow these simple tips then chances are you and your business wil get the right cover, protection and peace of mind.