Does Your Business Insurance Cover You For The Extras?

As a business owner, it is imperative you do everything you can to protect your assets. From employees and merchandise to the physical premises themselves, it is your responsibility to ensure everything is on top form and adequately protected.

Indeed, your business is your livelihood and whilst driving profits is your primary goal, it is essential that you understand the associated risks involved. Therefore, carrying out an accurate risk assessment is an intelligent way to protect both yourself and the other components of your business.

In doing so, you will be able to form a comprehensive strategy, capable of dealing with any arising issues. Not only that, but you will also be in the best possible position to determine the most appropriate insurance package for your needs.

There are certain types of business insurance that are required by law. For instance, if you have employees working for you, it is compulsory for you to take out employer’s liability insurance. The same goes for any company vehicles you own, although you do have the option to take third party or comprehensive cover.

But, what about the other types of business insurance? What should you have and is it really worth paying out for them?

Considering the premises where you operate from forms an important part of your business’ activities, it makes sense to get them covered. Issues to consider here include: damage or destruction towards the physical building(s); insurance for the full cost of rebuilding said premises; and any relevant legal/professional fees associated with reparation or rebuilding.

The experts also advise that it is essential to protect your contents. There are standard insurance packages to choose from, but many will only provide basic cover. Here it is important to think about the specifics of what your insurance offers you. For example, are you covered for loss or damage to any extra stock or gifts that you may have?

This is especially pertinent for businesses selling products, due to the fact it is likely they will have additional stock and/or gifts on the premises at certain times of the year, such as Christmas. Consequently, it pays to find an insurer who will build this factor into your insurance policy.

It is also important when taking cover out to precisely calculate the amount of stock you do have and to immediately inform your insurer of any extra stock as and when it comes in. As with all types of insurance, you must also ensure that you comply with your insurer’s security precautions.

As it goes, running your own business can be extremely rewarding. However, it definitely pays to make sure you’re protected for the right things. So, always be aware of what could happen, as well as taking into account issues like seasonal fluctuations. The key issue to remember when taking out business insurance is to match the nature of your business with the right deal.
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Adam Singleton writes for a digital marketing agency. This article has been commissioned by a client of said agency. This article is not designed to promote, but should be considered professional content.