Insurance
BUSINESS INSURANCE
Mortgages Protection Other
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LIABILITY INSURANCE
– This type of insurance pays for compensation when someone has been held legally liable for an adverse event. The main liabilities faced by businesses are:• EMPLOYERS’ INSURANCE
- An employer is legally responsible for the health and safety of its employees. If an employee was to have an accident in the workplace or suffer an illness brought on by work, they may bring a claim against the employer for compensation.• PUBLIC LIABILITY
- This covers claims made against a business by a client, contractor or member of the public over accidental injury or property damage.• PRODUCT LIABILITY
– If a business makes, repairs or sells products, it could be held legally liable for damage or injury arising from defects in their design or manufacture even if they have not been negligent. Product liability insurance would provide suitable cover in these circumstances.• MOTOR VEHICLE LIABILITY
- This Insurance is required by law to cover that the legal liability for injury to others and damage to their property arising from the use of vehicles on the road.• PROFESSIONAL INDEMNITY INSURANCE
-This insurance is compulsory for most professional businesses and services. A policy would usually cover areas such as libel and slander, professional neglect, malicious falsehood, breach of confidentiality, and negligence.• PROPERTY INSURANCE -
This insurance covers business premises for the cost of rebuilding, including professional fees and site clearance and also contents cover for items such as stock, plant & business equipment.Arranging the right type and level of Business Insurance is vital to the security and stability of any business. Some Business Insurance policies will be required by law, while others will provide added protection when unforseen circumstances could otherwise leave you with potential problems and ultimatley lead to huge setbacks to the progress of your business.
A range of options to protect your business
Partner & Shareholder protection
Each business partner or director takes out a life insurance policy on their own life for an amount equal to the value of their shareholding. The policy is placed in trust and on the death or diagnosis of a critical illness of a partner or director the other directors or partners receive a cash lump sum which can then be used to buy the affected shareholder’s shares. This method ensures that the shareholder’s family receive their part of the inheritance as quickly as possible with minimum disruption to the business.
Without adequate funds or agreements in place a company may be unable to buy out the deceased share of the business, leaving any remaining dependants without an appropriate level of income replacement and the company with the risk of an inappropriate member of the deceased family taking control of their business interests.
Key Person Cover
This type of policy helps a business safeguard against the financial effects of death and/or critical illness of a key person. All successful businesses have one or more key individuals whose skill, experience, knowledge and credibility the success of the business depends, and without their active presence the business profitability may be adversely affected.
Business Loan Protection
Many business owners may have given personal guarantees or even used their residential homes as security so the loss of the person or persons who have guaranteed a loan can be particularly serious for a business and also adversely affect the owners dependants. Similarly if finance has come from a directors loan account their estate may demand repayment of the loan on their death. Business loan protection can provide the funds to ensure that these outstanding loans can be repaid in full should the guarantor die and/or suffer a critical illness.
Business Protection
This type of protection policy would provide funds in the event of a death or critical illness of a business partner or director, ensuring continuity of the business and providing security and protection for all.
