Three reasons why you need business insurance

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Three reasons why you need business insurance

We get it. As a business owner your plate is already full – juggling staff, suppliers, orders and more. And it’s easy to forget about things that don’t matter right now. But while insurance might be ‘boring’ to think about, it can really get you out of a bind.

The right business insurance not only means you’re protected from everything like damage, theft and legal costs, but it can help you sleep easy at night knowing you won’t be out of pocket should the worst ever happen.

Still not totally convinced? Here are three reasons why business insurance could be worth it for you.

1. Total coverage

Like most things in life, business insurance isn’t compulsory – but that doesn’t mean it won’t come in handy should the need arise. You’re protected against a huge variety of risks, like damages to your premises, theft, and even legal fees if a customer makes a claim against you. You’re also covered for losses due to hacking and data theft, both of which are growing threats to small businesses.1 Think about how your business could be protected against the following:

  • Public liability: Coverage for you and your business against legal expenses for claims relating to personal injuries or damages to property, either at your workplace or another location.
  • Professional indemnity: Crucial for people who provide professional services or advice to others. It covers legal expenses for claims relating to damages arising from an act, omission, or breach of duty while conducting business.
  • General business insurance: Covers material damages to your business (premises, contents, etc.) and financial loss from a business interruption caused by an insured event.

2. Got expensive equipment? Business insurance covers it

You’ve spent thousands (and maybe even more) building up your company with the right tools and equipment – how much would it cost you, out of pocket, to replace everything?

Depending on your policy, most general business insurance covers your business premises as well as the contents inside it. So never again have sleepless nights wondering if your precious stuff is safe when you’re not at work.

While some insurance is required by law, other types of insurance will help mitigate the impact of potential risks and disasters. Start by taking the time to identify risks in your business.

Some potential risks may include:2

  • Property damage
  • Equipment breakdown
  • Liability claims
  • Theft
  • Pandemics
  • Natural disasters

The next step is to create a risk management plan which will help you decide which risks you need to insure against and which ones you can protect yourself against via other methods.

3. Get your lost or stolen stock replaced

It’s not just damaged equipment you need to worry about as a business owner – it’s losing your stock or having inventory stolen out from under you. Depending on which policy you go with, most general business insurance protects against your stock being lost or stolen. That means you can get back in business fast, without forking out cash from your own funds to buy in new stock for your customers.

You’re a business owner who prides themselves on giving your customers the best possible products and services. So why not protect what’s important to you? Find the right business insurance policy that meets your needs with Choosi – get a quote today.

References

  1. Cyber SecurityBusiness.gov.au
  2. Insuring against riskBusiness Queensland

Posted: 01 Apr 2019

This is general information only and does not take into account your personal objectives, financial situation or needs. You should consider the relevant PDS available on this website prior to purchasing any product. Choosi offers insurance products from a range of brands but does not compare all products available in the market.

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