Cheap Business Insurance

Business Insurance

We insure our homes, our cars, our pets and our holidays but a surprising number of people fail to adequately insure their businesses. This is surely one of the most risky decisions or possibly oversights - and the potentially most disastrous - that any businessman/woman could make.

In the modern world, despite recent falls in reported crime levels, we are all vulnerable to the effects of burglary, vandalism, fraud and fire, so a solid insurance cover is absolutely essential to protect not only the business owners livelihood, but that of the people who work for him.

As well as malicious and accidental damage, an effective business policy should provide cover against the usual natural phenomena such as fire and flood and the destructive effects of adverse weather conditions. There must also be adequate levels of cover against loss of custom, company assets and emergency recovery costs involved in getting any company back to normal if the worst case scenario happens. Mechanical failures and breakdowns need to be considered - including the all too frequent power failures that can cripple I.T. systems.

Insuring the contents of the company buildings is most important, but cover must also extend to any goods while they are in transit. You may have to seek separate cover from a specialist insurer against theft or fraud by dishonest members of the work force as this is often excluded from general business policies.

Any businessman or woman who is also an employer of others is required by law to be the holder of a policy of insurance that covers all risk liability to employees. This is known as Employers Liability Insurance and is provided to ensure that compensation is available to employees for any injury or illness that they may suffer as a result of their employment. In these days of 'compensation culture' a policy that provides an adequate level of Public Liability cover is also vital. These types of policies are intended to cover a potential multi million claim against a business in the event of death, injury or loss by any third party outside of the organisation.

Professional Liability cover is also highly recommended. This policy is designed to protect you and your company in the event of your being sued for damages if it is claimed that your professional advice was faulty and led to a loss to the person receiving this flawed advice.

Finally, any business involved in the supply of components or other product used in the manufacture of other items by another company should be in possession of a Product Liability Policy that provides protection against legal action if it is claimed that a faulty item supplied resulted in loss or damage to a third party.

Whatever else, please take business insurance seriously, disasters do happen - so be prepared.