Business Insurance Cover Types Explained

The NextWomen is happy to provide information on business insurance through knowledge partner Markel Direct.

Business Insurance Cover Types Explained

As a new business, you must take advantage of any opportunities in the market; by the same token, you must also be aware of any potential risk. Taking out insurance policies to protect against any possible problems can be expensive and the different types and level of cover can be confusing. Here’s a guide to the various types of business insurance and why you should consider each one for your business needs:

Employers’ Liability Insurance

Any privately-held organisation is legally required to hold employers’ liability insurance, which will protect you against any sickness or injury befalling an employee while working for you. Although there are many guides to employers’ liability which help specify the cases where you should have this insurance, take it as a rule of thumb that you will need it if you pay out wages and you rent or own the office in which they work.

Public & Products Liability

This insurance is essential for any customer-facing company. If you supply a product which - through mishandling or otherwise - injures a member of the public, you could be in severe legal trouble without it. Public liability should also be top of anyone’s list who deals with the public on a regular basis, or visits them in their offices and homes. If you damage their office property – or their person! – then you would need this insurance to cover you.

Professional indemnity insurance

As this article says, different types of insurance are more suited to some companies than others. However, any firm which offers a service, product or advice to another company which is designed to develop their prospects but in actual fact ends up harming them could be subject to legal proceedings. It’s a worst-case scenario but if a company loses status or money as the direct result of an error or bad advice given by another, the liable party could be covered against all losses by taking out PII. In fact, in some fields it’s a legal requirement that this form of insurance is taken out given the sensitive and important nature of the service offered.

A professional insurance provider can explain each step of what is needed to protect your business against claims of malpractice or injury – but bear in mind the types you will need to consider picking up in future.

This article is made possible through Markel Direct. The NextWomen is not responsible for the views or opportunities expressed in this article. 

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