Five reasons why you should buy business insurance
Updated: Oct 22, 2020
Protection is the premise for any type of insurance, business insurance isn’t exempt from that.
The difference is with business insurance, the basis of your protection is variable around certain subjects: theft, premises damage, injury to staff or public, and more. Therefore, the protection you require may need to cover a multitude of situations – this can be more difficult to find an insurance cover that applies and doesn’t cost an exorbitant amount.
However, it can be done. When life is an assortment of variables, it doesn’t take much for a little thing to go wrong. If you aren’t already convinced by business insurance, then here’s why it’s important you invest.
1) To protect you – and your employees
If your business is one that employs other people then you know the importance of not just putting your business first, but also your staff. After all, happy staff, successful business.
Currently under UK law, employers' liability insurance is compulsory if you have any employees– and for good reason. If an incident within the workplace required you to pay a staff member compensation following an injury sustained in the course of their duties, the costs could be astronomical.
However, with the correct insurance, there are always ways to bring the costs down.
2) Court time
Sometimes business goes a little sour, in that case, it isn’t uncommon for companies to wind up in court so to iron it out. The average rate for a solicitor on an hourly basis is over £100, it wouldn’t take too much time for a bill to rack up – and if the dispute takes a while to settle, that fee doesn’t include any additional court fees or settlements you may end up paying.
Hopefully, this doesn’t happen, but at least by investing in business insurance, which includes legal cover, you can rest assured there’s more chance for your company to recover.
3) You own additional properties, investments, and equipment
Business costs money. It may be the building that you run your company from or it may be the equipment you need to invest in, but either way, a business’ overhead costs can amount to a large sum of money.
If the properties were to be vandalised or any of the equipment were to be stolen, your business could very easily find itself in a deficit – or worse.
In a circumstance such as that, business insurance could be the difference between you continuing a successful business or closing your doors for good.
4) Protects you from what you don’t expect
It may be a fire, and theft, or maybe a patch of extreme weather, but business insurance offers you a cushion for an unforeseen blow you may not have been preparing for.
Depending on what your specific concern is, you may need to research peril-specific policies that cover for spontaneous but impactful events
5) Peace of mind
If insurance is the difference between you getting a good night sleep or not, then we’d encourage you to invest in insurance. Owning a business can be anxiety fuelling enough, without the incessant need to worry about the impact of the weather forecast, whether your establishment will be protected without you there, or if your employees feel safe working for you.
Business insurance isn’t always an expensive cost; however, it is always an investment. There’s a reason so many people in business encourage having it as an asset – for it’s easier to protect yourself with it than it is without it.