5 types of business insurance
Having the right kind of insurance cover is a big part of financial planning for many areas of life. Most people will have a policy for their possessions, anyone with a mortgage will have buildings cover and health insurance is becoming increasingly popular in the UK because of all the news stories about the troubles that the NHS currently faces.
For anyone who is in business, having the right insurance package can mean the difference between facing problems that can cause the whole enterprise to go under and successfully managing difficult and challenging circumstances.
Depending on the type of business involved there can be a number of different policies that may apply to your own criteria. So what are the five main kinds of insurance for business?
1.General business insurance
As with many areas of life, concerns about loss through accidental means or willful damage or theft are some of the very basics reasons insurance cover exists. This is no different for a business, and a general policy will mean that trading can continue with little or no disruption even when calamities occur.
2.Business vehicle insurance
Having insurance for your business vehicles goes beyond the legal requirements for every road user. If you are storing goods, tools or equipment in a van or other vehicle you need to be insured against loss or theft, and cover against damage in transit can be essential for many different types of work.
3.Specialist business insurance
The insurance markets today are far more complex than ever before as customers demand higher and more comprehensive levels of cover. This means that bespoke and specially created policies are becoming far more common. Reputational damage, data loss and other digitally based concerns can all be met with a special business insurance package.
4.Public liability insurance
For some businesses which operate in a public arena, public liability insurance can be a legal requirement. For others, it can make the difference between covering yourself against all eventualities and potentially facing large compensation claims.
5.Employer liability insurance
If you run a business that employs staff, having employer liability insurance means that you are covered against a wide range of claims that an employee may take out against you. Not only can this save money if cases against you succeed and compensation payouts need to be made, but also the policies themselves are likely to cost a lot less than you might expect.
