Do I need Business Insurance?

From accountants to tradies, hairdressers and personal trainers, no matter what kind of business you run, there is always some element of risk for a potential claim to occur. Even if you take all the care in the world to ensure you follow procedures and create a safe working environment, accidents and unwanted incidents can still occur.

While different types of businesses will be faced with various exposures to risks there are still some general things that the impact of a claim can have upon your business. Some of these impacts include^.

• Your finances- this is a pretty obvious one, and a big kind of risk you need to think about when not having an insurance policy in place. The scale of the financial impact can range from a large Public Liability claim for an injury suffered by a third party client at your business premises (when not covered by the ACC) to damage to your business premises caused by an insurable event like a fire for example.

If you don’t have the adequate type of business insurances in place, you could risk putting your personal finances in jeopardy in order to pay any related claim expenses like compensation or legal fees. This is something no small business owner wants to experience.

Your reputation – Your small business’ reputation is something that you have put a lot of effort into growing and make happen. This is something that money can’t buy, and the way your customers and industry peers perceive your business is important.

If a claim were to occur and you didn’t have the right businesses insurances in place, your reputation could be destroyed in the blink of an eye. People talk, and word of mouth could have quickly unravel all that hard-work you’ve put into your business over time.

The time away from your business – attending potential court hearings and discussing your claim with legal teams, can take away precious time from your business. Not being able to be there could cause a major disruption to the operation of your business, causing down time and loss of potential income.

Here are a few examples of how Business Insurance can protect different types of businesses and their areas of risk.

Why do retailers need Business Insurance?

The retail industry is broad and covers many different types of businesses from cafes to gift shops, beauty salons and pet groomers. While your retail business will have its own unique business insurance needs, we’ve highlighted some of the typical reasons why a retail business needs to consider business insurance.

• Dealing with the public means there is always a risk of things not going to plan. Accidents like a customers tripping over a box of stock and injuring themselves can happen so easily. There’s also the real risk of causing damage to your customers property like accidentally spilling food or drink on their personal items, or if you are visiting their home, causing accidental damage to their home.
• Cyber crimes can pose a threat to things like your customer data and financial terminals, this is why it is important to think about Cyber Liability insurance*
• If you own your business premises, then you may want to look at protecting one of your biggest business assets with Building insurance*

* This information is a general guide only and does not take into account your objectives, financial situation or needs. As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording. The information contained on this web page is general only and should not be relied upon as advice.

The provision of the claims examples are for illustrative purposes only and should not be seen as an indication as to how any potential claim will be assessed or accepted. Cover for a claim will depend on the specific circumstances around the loss and would be subject to the terms and conditions of the policy concerned.