Many small business owners have embraced the online business model because of the obvious benefits of lower overheads – no expensive lease agreements, no store fit out costs or maintenance and utilities. This might lead you to believe that there are also fewer apparent business risks associated with having no physical store presence. However, just because you don’t have a ‘bricks and mortar’ business location, doesn’t mean you are not exposed to similar potential financial losses. Having adequate eCommerce insurance is an important way to protect your growing business. So when it comes to insurance for online business, what type of exposures should you consider?
E-commerce business insurance refers to a range of insurance products designed specifically for businesses that operate and sell online. These insurance policies are tailored to address the unique risks associated with conducting business over the internet.
The simple answer to this question is – yes! While you may not run the risk of customers getting injured on your property, you have many of the same risks as any other retailer or service provider plus a couple of more specific ones. If your online business sells goods or services you could definitely benefit from business insurance that could mitigate a number of key exposures.
Depending on the type of business that you run, you still have the potential for your products to fail, be stolen or damaged or for your services to be called into question. In addition, operating in a digital space means you are exposed to the specific risks associated with data breaches or cyber crime.
Potential financial losses and liabilities associated with digital or online-only businesses can include everything from your website or online store going down, to the physical loss of your products due to theft, fire, weather damage or transit issues. You may be held responsible if your products cause physical injury or harm to someone and your reputation may suffer damage if a client feels you have been negligent.
Having appropriate online business insurance in place can protect your ecommerce business against potential legal action from customers or third parties who may claim to have suffered injury or property damage as a result of using your goods and services. This can include covering legal costs should you need to defend yourself against such claims and may even cover compensation that you may be required to pay.
Broadly, insurance for online business falls into several main categories: liability cover, business continuity protection and transit insurance. Let’s take a look at the types of cover you might want to consider.
Online retailers and eCommerce sites are most affected by cyber liabilities, as the point of sale overwhelmingly relies on websites and IT. If you were affected by a cybercrime you would likely suffer business interruption and it could impact your business profitability.
Cyber insurance protects against losses due to cyber incidents such as data breaches, hacking or accidental loss of customer information. Cybersecurity is one of the most significant challenges for an online business nowadays. Potential exposures include data breaches and the associated fines and penalties; cyber attacks where your data is encrypted and held to ransom; data loss and recovery costs and reputational harm.
Depending on how specialised your business is, you need to consider how much you might be affected if an integral part of your business e.g. machinery breakdown such as refrigeration units or storage facilities such as warehouses was unavailable or offline for any period of time.
Business Interruption Insurance provides compensation for lost income and other expenses if the business is unable to operate due to physical loss or damage from natural disasters such as fires or floods. It can cover financial losses such as lost profits, employee wages, fixed costs such as rents, temporary relocation and recovery costs.
The nature of work engaged in by online retailers and eCommerce operations may include exposure of employees to office, warehouse and shop hazards such as slips, trips or falls or risks associated with heavy lifting.
While Workers Compensation insurance regulations differ by state or territory and by the size and type of business that you run, Employers Liability Insurance can provide cover for compensation for medical and hospital expenses and rehabilitation services should an employee be injured in the course of carrying out their duties.
If you run a manufacturing or labour intensive operation and depending on the size and scale of your business, you may have a greater risk exposure to employee unforeseen actions or wrongful acts in your business operations.
Management Liability Insurance can safeguard you against claims arising from mistakes, actions or decisions made by your company directors, managers, officers and employees. It can cover the cost of investigating, defending and settling claims by a third party, as well as paying compensation the business is liable for.
Don’t let the term ‘inland marine’ confuse you. This isn’t cover for transporting goods on a ship. If your eCommerce business transports products, materials or equipment over land via truck or train, you may be exposed to risks of your products being lost or damaged in transit or while being stored in a warehouse.
Inland Marine Insurance can protect you should you lose products, materials or equipment due to theft, rough handling that causes damage or bad packaging resulting in damage. It can also cover you for damage or financial losses incurred while your goods are being held by a third party such as a warehouse or logistics company.
E-commerce insurance is crucial for online businesses due to the particular vulnerabilities they face, such as cyber threats, logistical challenges, and the global nature of access, which can expose them to various regulatory environments and litigation risks.
If you operate an online business contact AIB’s business insurance experts for assistance in selecting and getting a tailored quote for a policy that covers your specific needs.
If you own a small business, chances are you’ll need a range of different insurance policies to help protect your operations, assets and employees.
However, determining the type and level of cover appropriate for your needs isn’t always a straightforward process – and getting it wrong could cost a lot.
That’s why it pays to work with a specialist small business insurance broker whose job is to ensure you have the right cover for your needs. Here’s how they can help you get the most out of your insurance investment.
No two businesses are the same, and that means their insurance needs aren’t the same either.
Also no two insurers are the same, and that means their insurance policies aren’t the same either.
A good small business insurance broker will spend time getting to know you and your business, including the risks and vulnerabilities that need to be covered. Armed with that knowledge, they’ll design and source policies that are right for your risk profile.
As a result, you can have an appropriate level of cover for your specific circumstances.
Your sum insured is the maximum amount your insurer will pay out on each of your policies should you make a claim. To determine what those figures should be, you’ll need to calculate your potential losses for a range of events, such as natural disasters, business interruption and theft.
Overestimating what your losses would be can result in your paying unnecessarily high premiums, while underestimating can mean you’re significantly out-of-pocket in the event of an incident. An experienced broker can help you strike the right balance.
It pays to shop around, but if you’re a busy business owner, there may be a dozen more urgent tasks on your ‘To-do’ list. Sticking with the status quo can feel easier than spending hours on the phone researching the alternatives.
Or you could allow your broker to do that leg work for you, contacting insurers to explore the options and recommending the policies that represent the best value for money.
Making an insurance claim is often time-consuming and stressful, but a broker can assume some of the burden on your behalf. It’s their job to support you through the process, liaising with your insurer and acting as your advocate.
Having an expert in your corner can result in smoother and speedier claim settlements, allowing you to get on with running your business.
Ideally, your relationship with your broker will become a long-term one, so your broker can provide ongoing assistance with policy adjustments and renewals as well as risk management advice to help you safeguard your operations and assets.
Having appropriate insurance in place can help protect your business in the event of adverse incidents.
A small business insurance broker can help you determine what type and level of cover best suits your circumstances and advocate for you in the event of a claim.
Contact your AIB small business insurance specialist today if you’d like to talk to a specialist about your requirements.
Important notice
All information in this article is of a general nature only and does not take into account your specific objectives, financial situation or needs. Deductibles, exclusions and limits apply to insurance.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This general information does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether this business interruption insurance is appropriate for you. Deductibles, exclusions and limits apply. This insurance is issued by various insurers and can differ. You should consider the relevant Product Disclosure Statement and any Target Market Determination in deciding whether to buy or renew this type of insurance.
In its simplest terms, reinsurance is insurance for insurance companies. Unfortunately, global reinsurance is impacting businesses of all sizes following an increase in catastrophic events across Australia.
Insurers paid out $36.5 billion in claims in 2022 alone, according to the Insurance Council of Australia.
There were more than 300,000 disaster – related claims lodged from four declared insurance events across the country, costing more than $7 billion in insured losses.
There has also been an increase in costs for repairing properties coupled with rising claims costs and inflation.
Now the cost of reinsurance is climbing too. The rising costs have even seen some global reinsurance pull out of covering some insurers’ environmental risks.
It means some insurers have taken on the risk themselves instead of paying higher reinsurance costs.
So how can rising reinsurance have an impact on your business?
Here are some likely effects of the global reinsurance landscape on your business.
Higher premiums
As reinsurance becomes more expensive and difficult to get, insurers may have to increase premiums for their policies.
Unfortunately, many businesses may face increased premiums as a result.
More information required
Insurers can ask for more information about a business’ risks and plans during renewal and when a claim is lodged.
You may be asked more questions and spend more time reviewing the coverage they will offer. These questions and requirements may feel daunting when you’re time-poor, but you still want to ensure you have the right cover without breaking the bank.
Cover restrictions
Insurers may impose coverage restrictions or even larger exclusions. Some insurers may even decline to reinsure a business if they feel the risks are too great in this present climate.
These impacts may make it more difficult to decide how and who insures them and the cost of ensuring they’re properly covered if a disaster strikes.
An AIB insurance broker can provide expert advice and ensure you get the right cover for your business needs.
Experienced brokers have strong relationships with various insurers and can help businesses get the right cover at the right price.
Their advice means you don’t have to guess what will work with you and hope for the best.
Brokers can also help review a business’ existing policies and procedures and suggest ways to potentially reduce your insurance costs. This could include adjusting a business’ claims excess or suggesting ways to reduce risk, which insurers can look at more favourably.
If you have to make a claim, brokers can also help you with the claims process, which can be difficult to navigate. This help is especially important following a major disaster when insurers are inundated with claims and outcomes may take longer.
A disaster can be one of the most stressful events you go through as a business owner and a good broker can help ease that.
Reducing your insurance costs with rising costs can be tempting, but it’s a trap you should avoid.
It’s a more important time than ever to focus on the right protection. Speak with a broker today about your needs and whether you have the right cover.
Important notice
All information in this article is of a general nature only. This information does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete.
Steadfast Group Ltd ACN 073 659 677
Important notice – Steadfast Group Limited ABN 98 073 659 677
This general information does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether this business interruption insurance is appropriate for you. Deductibles, exclusions and limits apply. This insurance is issued by various insurers and can differ. You should consider the relevant Product Disclosure Statement and any Target Market Determination in deciding whether to buy or renew this type of insurance.
Property can be an excellent long-term investment, but it doesn’t come without risks.
There can be a chance your tenants may default on the rent, steal items from the property or cause damage that their bond may not cover.
The rental income you rely on to pay the mortgage could disappear if a natural disaster renders the premises uninhabitable for an extended period of time.
That’s where landlord insurance comes in.
A specialised form of cover designed to protect property owners who rent out commercial or residential spaces by mitigating some of the most common risks associated with being a landlord.
While having a landlord insurance policy is not mandatory, it’s highly recommended by real estate professionals and financial specialists who’ve seen landlords suffer significant losses and hardship from tenant-related events.
A landlord policy typically comprises a combination of building, contents and landlord insurance.
Property damages from natural disasters (such as fire, flooding and storms) are likely to be covered, as are possessions kept on the rental premises for maintenance purposes, such as tools and gardening equipment.
The landlord component of the policy typically covers loss of rental income if the property becomes uninhabitable. This could happen as the result of a covered event, rent default, damage or theft by tenants and their guests, liability in the event of an accident, and legal expenses, if necessary.
What landlord insurance doesn’t cover are the regular costs associated with being a landlord.
This could include construction defects, normal wear and tear, and ordinary expenses, such as plumber’s bills for clearing drains.
Landlord insurance has proven a worthwhile investment for Rodney Holder, whose property portfolio includes a block of units in the central Queensland town of Rockhampton as well as houses in Canberra and Brisbane.
His policy covered the cost of making good the damage caused by one less-than-careful tenant in his Canberra property, including torn curtains, a hot pot burn mark on a newly laid floor and a broken door on a new oven.
“As with any insurance, you’re paying for peace of mind,” Holder says. “It’s also tax deductible and a cost of doing business.”
Other claims can be significantly larger, warns Jo Napoli, the Principal of real estate agency The Rental Specialists.
She recently helped a client evict squatters from their investment property and says the bill for lost rent, new locks, damage to the premises and cleaning came to just under $10,000.
After being provided with a copy of the condition report, tenancy ledger, photographic evidence of the damage and invoices for repairs, the client’s insurer paid the claim within 14 days, Napoli says.
If you’re a landlord or considering becoming one, it’s a good time to consider the benefits of landlord insurance. It could also be worth reviewing your level of cover to check it remains right for your circumstances.
Contact your AIB Insurance broker today to discuss your unique insurance needs today.
Important notice
All information in this article is of a general nature only. This article does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please think about whether this type of insurance is appropriate for you. Deductibles, exclusions and limits apply. You should consider the Product Disclosure Statement or any Target Market Determination in deciding whether to buy or renew this type of insurance. Various insurers issue this type of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
But first, let’s look at a case study that shows how insurance can work in healthcare.
Dr S Tarek Shalabi is Cosmetic Doctor Brisbane‘s owner and co-founder. The business specialises in non-surgical cosmetic medicine. As a medical practice, the firm is required to carry public liability and professional indemnity insurance. As an injectables cosmetic clinic, contents insurance is also a must, given the high-value nature of the product.
The practice has never made a claim on its policies. Dr Shalabi credits this to the resources his medical indemnity insurer has in place to help prevent a situation from arising where he would need to make a claim.
“They are extremely helpful in situations where we would like to discuss a complex situation, for example, in cases where we have specific requests from patients which deviate from our normal practice,” says Dr Shalabi.
“They have a full team of doctors and medicolegal professionals available 24/7, in addition to a multitude of online guides, resources and case studies,” he says.
“They provide a great platform to discuss cases where there may be no immediate ‘right answers’ and provide us reassurance and backing when making decisions. On multiple occasions, they have guided us through the correct course of action to provide the best outcomes for our patients and to reduce the risk of a claim,” he adds.
Given the nature of their work, healthcare businesses are exposed to a range of different risks. These include everything from malpractice claims to property damage and even theft.
So, it’s important for businesses operating in the healthcare sector to have a well-thought-out risk management strategy, including appropriate insurance policies. Let’s take a look at some of the main policies healthcare businesses may need.
Healthcare businesses are at risk of being sued by patients if they believe a healthcare professional has provided substandard care or has been negligent in their treatment, resulting in harm or injury.
Professional indemnity insurance cover helps to protect healthcare professionals from claims related to errors, omissions or negligence in providing their services. It can cover legal defence costs, settlements and judgments.
Public liability insurance provides protection for property damage and personal injury claims arising from accidents that occur on the business premises or as a result of business operations.
“This type of cover is essential for protecting against risks such as slip-and-fall accidents and equipment malfunctions,” says Steadfast’s Broker Technical Manager, Michael White.
A good business insurance pack protects the physical assets of a business, including the building, equipment, furniture and supplies, against perils such as fire, theft or vandalism. It can also provide cover for business interruption if the premises become temporarily unusable. In the case of cosmetic injectables, if they need to be kept in cold storage, the business would need to take out cover for deterioration of stock in cold storage.
If the health business has employees, workers’ compensation insurance is required by law. It provides medical benefits and wage replacement to employees who suffer work-related injuries or illnesses.
In today’s digital world, like most other businesses, healthcare businesses are increasingly vulnerable to data breaches and cyberattacks. Cyber liability insurance helps cover the costs associated with data breaches, including legal expenses, notification and credit monitoring services and potential liability for compromised patient information.
A risk management strategy, including the right insurance, is essential for every healthcare business.
Talk to your AIB Insurance broker today to find out more.
Important notice
This article is of a general nature only and does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Storm season is upon us so it’s a timely reminder to check that your insurance cover is up to date and to take some simple steps to keep your home and business premises safe and minimise the risk of damage as much as possible.
Here are some tips to make sure you’re prepared:
To report power interruptions, phone Energex on 13 62 62.
Give us a call on 07 5409 4600 to speak with one of our expert team and make sure your policies are up to date and you’re adequately covered.
All the data points to a hotter than-average summer, which means Aussie businesses should prepare for extreme weather during the warmer months.
Here are some steps you can take to help prepare your small business, in case droughts and floods affect your area.
The Australian Actuaries Climate Index (AACI) indicate conditions are ripe for a destructive bushfire season across Australia this summer, following a dry winter and a rise in extreme temperatures.
According to the index, the frequency of extreme high temperatures was above average in northern and eastern parts of the country in autumn, but lower than average in the south and west.
Rade Musulin, lead collator of the Australian Actuaries Climate Index, says with Australia’s transition to an El Niño alert phase in late May, there is a strong likelihood rainfall will continue to decline and a significant dry period may begin.
“More dry weather, along with the record amounts of vegetation growth from three years of consistent wet weather, means the conditions are primed for potentially high bushfire risk in the summers ahead,” he said.
The Bureau of Meteorology currently estimates there’s a 70 per cent chance of an El Niño system developing. This weather pattern is synonymous with low rainfall and bushfires.
While El Niño events, bushfires and drought are tough conditions for small businesses to manage, there are steps you can take to mitigate these risks.
Create a detailed emergency plan tailored to the threat of bushfires and floods. This plan should outline evacuation procedures, communication protocols, designated assembly points and responsibilities for each employee during an emergency.
Review your current business insurance policies to ensure they provide adequate coverage for potential damages caused by El Niño-induced events. Speak with an insurance broker, who can discuss your options and the best cover for your specific business needs.
Protect crucial business data and documents by regularly backing them up and storing them off-site or on secure cloud-based platforms. This will minimise the risk of data loss during extreme weather events.
Hold regular training sessions to educate employees about the emergency plan and the steps they should take during bushfires or floods.
Regularly maintain any garden around your business premises, trim trees and remove dry foliage. Similarly, ensure proper drainage to prevent flooding.
Make sure you have access to multiple communication channels to stay up to date on weather and evacuation orders. Use social media, emergency alert systems and reliable news sources so you know what’s happening, as it happens.
Create a business continuity plan that outlines the steps to follow to resume operations after a disaster. This plan should address immediate recovery needs, temporary business relocation and any potential supply chain disruptions.
Organise periodic drills to test the effectiveness of your emergency plan. Identify areas for improvement and make necessary adjustments based on the outcomes of these exercises.
El Niño-induced bushfires and floods can pose significant challenges to small businesses.
But with careful preparation and planning, businesses can increase their chances of minimising losses and bouncing back after a disaster. The key lies in being proactive rather than reactive when it comes to disaster preparedness.
Important notice
All information in this article is of a general nature only. This information does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete. Information is subject to change.
Steadfast Group Ltd ACN 073 659 677
Starting a small business is an exciting adventure that requires careful planning and organisation. There are several essential steps to take, from registering for an Australian Business Number (ABN) to setting up financial systems and securing insurance.
The first step is to decide which business structure is right for you, with options including setting up a company or partnership, or being a sole trader.
The right choice will depend on the type of business you operate, its size, how you wish to pay tax, and how you want to protect your assets.
An accountant can help you decide on the right option for you.
Then, you need to apply for an ABN. This is a unique 11-digit number that identifies your business.
You will need to include this number on tax invoices and other documents.
It’s vital to understand your tax obligations as a small business owner.
You will need to register for Goods and Services Tax (GST) if your business earns more than $75,000 a year.
This is a broad-based 10 per cent consumption tax. If your business collects GST, you may need to pass this money back to the government, offset by any GST you pay.
You may also need to pay income tax and payroll tax, and your accountant can help you set up systems for this.
You must also understand the Australian Taxation Office’s (ATO) rules and keep accurate records of your income, expenses and tax deductions.
A well-thought-out business plan serves as a roadmap for success. It outlines your goals, target markets, products and services, marketing strategies and financial projections.
Start by conducting market research to understand your industry, competitors and potential customers. Identify your unique selling proposition (USP) and create a marketing plan to reach your target audience.
A business plan helps you stay focused and is an important requirement if you want bank finance or external funding.
Effective financial management is crucial for the success of any small business.
You will likely need to open a business bank account to separate personal and business finances. Accounting software such as MYOB, QuickBooks or Xero may be a useful software to help track income and expenses and generate financial reports.
Implement a bookkeeping system to maintain accurate records, including invoices, receipts and payroll information.
This will simplify tax reporting and enable you to monitor the financial health of your business.
Protecting your business against potential risks is also vital.
Consider the specific needs of your industry and determine the appropriate insurance cover. Your insurance needs will differ if you’re an ecommerce business vs if you’re a tradie or operating a childcare centre.
Many small businesses will need public liability insurance and workers’ compensation insurance plus professional indemnity insurance if you give advice.
Rather than trying to guess what’s right for you, it’s a good idea to ask a broker to assess your requirements and find suitable policies that safeguard your business and assets.
When you have the fundamentals in place, it’s time to focus on revenue-generating activities.
Chris Loverseed is the founder of Positive K9 Training, a consultancy firm that helps people scale up their pet-based businesses. He says when you’re starting out, it’s important to recognise your time and energy are precious commodities.
“So they are best channelled into activities that drive your business forward and generate revenue,” Chris says.
Chris recommends you start by understanding your market.
“Find out who your customers are, what they need and their pain points. Then, you can tailor your product and messaging. It’s all about finding the perfect fit between what you offer and what your customers are looking for.”
At the start, Chris suggests taking the opportunity to build a community around the business. Social media channels can be a useful source for this.
“This goes beyond just making sales. It’s about creating a group of loyal customers who love your product, believe in your brand and will advocate for you. A strong community can be your most powerful marketing tool.”
The next step is to develop your marketing strategy, Chris says.
“This is how you get the word out about your business. Whether it’s through social media, email campaigns or traditional advertising, effective marketing is all about reaching the right people with the right message at the right time.”
Starting a small business in Australia requires careful planning and adherence to legal requirements. A small business insurance broker can help ensure you get the right insurance cover for your new business.
For any small business insurance needs, speak to your AIB insurance broker to understand the products that are right for you.
Important notice
All information in this article is of a general nature only. This information does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete. Information is subject to change.
Steadfast Group Ltd ACN 073 659 677
Even the most careful tradies can have an accident or lose their tools. Whatever size the project, whether you’re a handyman, plumber, builder, carpenter or electrician, being properly insured can bring real peace of mind to you, your clients and your employees.
For some tradies, public liability insurance is mandatory, and most building contracts above a certain value require this cover.
Compulsory or not, it always makes absolute sense. If you accidentally cause injury to someone or damage property, you could be liable for damages and significant financial loss. Costs could include medical and rehabilitation expenses, repairs and/or legal fees.
It can also be harder to find work if you aren’t insured. Some customers want to know they’ll be compensated if something goes wrong.
You can’t work without your tools. If they’re stolen from a worksite, a storage shed or the back of your truck, the right tool insurance can help you replace them allowing you to return and get on with the job.
Your ute, truck or wagon is another business essential. You might be tempted to save a few dollars by not mentioning to your insurer that you use the vehicle for work, but you run the risk of having a claim rejected if it relates to your job.
Some policies include accessories and modifications such as your signage, racks and tow bar when they’re assessing the vehicle’s replacement value.
They may also have more flexibility in terms of the number of drivers covered – this is important if your team shares the driving.
Worksites can be hazardous, exposing tradies to dangers such as incomplete electrics, working at height, noise and manual handling. And, of course, anyone can become too ill to work. When you work for yourself and don’t have sick leave, you have the extra worry of no income.
Income protection insurance can help bring the security of an income if injury or illness stops you from working for an extended period. Some trades insurance policies include an income protection option, or you can purchase standalone cover.
The ideal scenario for any tradie is to avoid accidents altogether. The Australian Bureau of Statistics’ report for the 2021/22 financial year highlights some of the most important ways to stay safe.
1. Handle with care
Lifting, pushing, pulling or bending accounted for almost a quarter (24%) of the accidents reported. Safe lifting techniques and using mechanical aids wherever possible can help to reduce the strain.
2. Keep tidy
Slipping and tripping accounted for 17% of injuries. Keeping your workplace free from trailing wires, cables, hoses and spills could help make them safer.
3. Keep a look out
A lot is going on at a worksite and it’s important to stay aware of your surroundings. At 16% bumping into or being hit or cut by an object or vehicle was the third most common type of accident.
When your livelihood is at stake you may not be able to afford to make mistakes. Your AIB insurance broker can help you explore our Tradies insurance packages and tailor the protection you need.
Important note
This article does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please think about whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider the Product Disclosure Statement or any Target Market Determination in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
Steadfast Group Ltd ACN 073 659 677
Business insurance can look complicated but once you understand the basics, you’ll find it much easier to talk to your broker about your needs.
Here are five things it can help for you to know.
Business insurance can help protect a number of things including your company assets, customers, employees, and your business earnings.
It may also include public liability insurance to provide protection against claims relating to injuries or damage to property.
Business insurance can be flexible. For example, a sole trader working from home is likely to have different requirements from someone running a restaurant, a building company or even a yoga studio, and so it can be tailored to suit a variety of different business needs.
This can also mean bundling different types of policies together to simplify the process – and a bundle may also cost less than purchasing the policies separately.
Some elements of business insurance are required by law. For example, if you have employees, you must have workers’ compensation insurance. Public liability insurance is also compulsory for some companies.
Depending on your business requirements, you can add others to suit your own preferences such as income protection, disability insurance, or cover for your premises, vehicles or equipment.
Whether bought together or separately, each policy will set out exactly what it covers, any conditions you must adhere to and any exclusions.
For example, conditions could include installing automatic fire extinguishers or agreeing to switch on burglar alarms whenever the business premises are unoccupied. An exclusion eliminates coverage for certain types of risks – for example, damage that occurred because you failed to maintain the premises.
Business insurance has lots of options and every business has different exposures – so how can you be sure you’re covering the right risks?
Steadfast network brokers use a tool that can identify your exposure based on claims by other businesses in your sector. From there, they can help to fine-tune your risk profile by understanding the way you do business and the mitigations you have in place.
So, get in touch with one of our brokers, who can also help you to decide on the amount you should insure by discussing details such as replacement costs, especially when it comes to buildings and equipment.
These may appreciate over time due to inflation and rising costs as new models are made available. The exception is stock, which can be covered for its value rather than for its replacement cost.
Getting it right means finding the right cover for the best price. For peace of mind, contact your AIB broker today to discuss your business insurance needs.
Important notice – Steadfast Group Ltd ACN 073 659 677
This article does not take into account your specific objectives, financial situation or needs. It is also not financial advice, nor complete, so please discuss the full details with your Steadfast insurance broker as to whether these types of insurance are appropriate for you. Deductibles, exclusions and limits apply. You should consider any relevant Target Market Determination and Product Disclosure Statement in deciding whether to buy or renew these types of insurance. Various insurers issue these types of insurance and cover can differ between insurers.
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