With a variety of insurance companies and policies available, it can be difficult to determine which may be the most appropriate for your business. When it comes to insuring a business, there are many types of businesses and no two will have the same requirements.
Understanding the various types of policies that are available and which ones may be right for your business is crucial to ensure you are paying competitive premiums for a broad level of cover.
The Importance Of Business Insurance
As explained by the Australian Government, having appropriate insurance can assist to protect your business and your customers and potentially prevent loss of income. Some types of insurance are required by law or by contract, and are compulsory depending on what type of industry you operate in, while others simply protect your assets and liabilities.
Finding the right insurance is essential in managing risk and protecting your business assets, revenue and liabilities.
Compulsory Forms Of Insurance For Businesses
In Australia, you may be required by law to possess the following forms of insurance.
Workers’ Compensation Insurance
This form of insurance is compulsory for any company that has employees. This protects both yourself and your workers against any financial hardship that may be caused by an accident whilst an employee is working for your business.
Public Liability Insurance
This is compulsory for some types of businesses, and will cover you against third party death, injury or damage to third party property.
6 Types Of Insurance Policies You Should Consider
It would be wise to consider the following policies for the preservation of your business, by recommendation of Business Victoria.
1. Income Protection Insurance / Personal Accident And Illness
This covers loss of income if any accident or sickness occurs that may prevent you from working. This is suitable for contractors or sole traders who are not eligible for Workers’ Compensation Insurance.
2. General Property Insurance
Ensuring your assets and property are protected away from your premises from damage or theft is important to allow your business to continue operating if any valuable items do become affected.
3. Management Liability Insurance
This policy provides protection for those within your company that may face claims of negligence in the performance of their duties. This covers company managers such as Directors or Senior Managers against liability for mismanagement, and also protects against loss due to theft or fraud by employees, employment practices liability and statutory liability.
4. Products Liability Insurance
Provides cover against claims that your products may have caused resulting in injury or damage. This is an important consideration for any businesses that supply goods to customers.
5. Professional Indemnity Insurance
This protects professionals in a range of industries against claims made by a client for professional negligence or advice. If you offer any advice or provide a professional service, it is recommended that this policy is considered.
6. Cyber Insurance
As technology advances, most businesses face a real threat is posed by Cyber Risks. This form of insurance protects against losses to your business and liability to others following a Cyber Breach. This is especially important if sensitive customer information may be stored by your technology. In the event of a cyber attack, this policy can also cover the cost of any damage or legal costs associated with a data breach.
Atlantic Insurance Is Here To Help
At Atlantic Insurance, we have assisted businesses of all sizes and industries since the early 1980s. Our team has developed a strong understanding of the insurance needs and risks involved for a range of businesses.
If you remain unsure of which policies may be the right choice for your business, contact us today. Our experienced Client Managers will provide comprehensive advice on the most cost-effective insurance options for the preservation of your business.
Any information contained on this page of the website is general advice only and has been prepared without taking into account your objectives, financial situation or needs. Your should consider these, having regard to the appropriateness of this advice and the relevant Product Disclosure Statement (‘PDS’), Target Market Determination (‘TMD’) and Financial Services Guide (‘FSG’), which will be provided following any formal recommendation to you.
