Insurance can be quite a controversial topic. While some business owners may feel like paying monthly premiums is a waste of their hard-earned money, insurance is an absolute necessity in ensuring that your business will be covered in the case of unfortunate events.
What Insurance Does a Business Need?
The type of insurance your business needs will directly depend on the type of industry it falls under, as well as the size of the business.
In Australia, it is compulsory that all businesses have both workers’ compensation insurance and motor vehicle third party personal insurance. But there are many other types of insurance which are recommended, including:
- Assets and Revenue Insurance- This type of insurance ensures the cover of business assets that were lost, damaged or stolen. This type of insurance is usually quite customisable, and you can cover anything from vehicles to stock.
- Liability Insurance- Liability insurance will cover you in a situation where your business is responsible for the loss or damage of another person’s health or property. There are 3 different types of liability insurance, namely public liability, professional indemnity and products liability.
- Personal and Workers’ Insurance- You may need personal and workers’ insurance to help cover the costs of personal injury and illness and that of your employees.
Choosing an Insurance Policy
It’s important that you choose an insurance policy that is right for you and your business. Shop around and get at least several quotes before deciding on an insurance policy. Also, ensure that your business will be able to afford the monthly rate. Remember to update your insurance policies if you acquire new assets or you experience a change in circumstances.
Need some assistance in handling the insurance aspect of your business? We can tell you exactly what insurance your small business needs to minimise investment risks. Allow the experts at Aureus Financial to guide you through the world of small business insurance.