If you intend on starting your own business, it’s important to make that you choose the right business insurance policy to meet your needs and ensure that you know the difference between professional indemnity insurance, employers’ liability insurance and public liability insurance.
Properly Insuring Your Business – What type of insurance policy do I need?
Regardless of the type of business you wish to start, you will need insurance. However, you will need to find the most favorable policy for your requirements. The Internet will provide you with the perfect place in which to start your search for insurance.
There are three main types of business insurance policies:
- Public liability insurance – this type of insurance will protect your business from claims made by clients, customers or third parties who have suffered from injuries or have experienced damage to their property due to your business being at fault;
- Employers’ liability insurance – this type of insurance will protect your business against claims arising from injuries or illnesses experienced by your current or former employees;
- Professional indemnity insurance – this type of insurance will protect your business from circumstances in which financial loss is experienced by a client as a result of incorrect advice being given or faulty services rendered by your business.
Do I have to take out business insurance?
Yes. If you hire anyone or deal with customers/clients then you will need to protect them by taking out a business insurance policy. If you do not take out insurance, you could end up in trouble with the law.
You may be required to supply proof of insurance many years following first taking out an insurance policy, for example, because a former employee has decided to make a claim against your business for an injury that occurred in the workplace and caused them to experience problems several years later.
What are the benefits of business insurance?
Companies like Cornhill Direct Business offer insurance policies protect your business against any losses, thefts or accidental damages – any specific items listed on an insurance policy, such as equipment, will be covered. It is essential to take out additional insurance cover if you regularly take equipment out of your office or even out of the country. A business insurance policy may protect you from income loss should any essential equipment become lost or damaged.