What Insurance Do You Need For A Small Business?

We’re often asked about the different types of business insurance available in Australia and what the difference is between the various business insurance products. We take a look at a few of the most common products.

What Insurance Do You Need For A Small Business?

We’re often asked about the different types of business insurance available in Australia and what the difference is between the various business insurance products.

Firstly it is important to recognize that business insurance is important for all businesses regardless of their size or turnover. Small to medium businesses are more often significantly impacted by single events and are often most affected by not having adequate insurance protection. A small business could be closed down by just one catastrophic (and insurable) event without the right insurance covers in place. So if you own a small business and you’re wondering if you need insurance protection, the answer is a definite yes!

BUT WHAT KIND OF INSURANCE DOES YOUR SMALL BUSINESS ACTUALLY NEED?

This is a really tricky question that we often come across and the answer to this depends on a number of factors. Your insurance needs will be determined by things like the industry that you operate in, your business size and structure, your location and your appetite for risk. An ecommerce business manufacturing and selling candles, for example, will face different risks and challenges than a cafe owner or a real estate agent or engineer.

There are also certain types of insurance that are required by law in Australia so it’s important to evaluate your particular business needs and make an informed decision about the products that are right for you.

This is where our team of experts will be able to provide guidance to you and take the time to understand your business. We understand there is no ‘one size fits all’ when it comes to small business insurance so it’s always best to talk to an expert broker to get advice on the products that are going to give your business the best protection.

SMALL BUSINESS INSURANCE PRODUCTS YOU MIGHT WANT TO CONSIDER

These are some of the most common insurance types that small and medium sized businesses invest in.

Public Liability Insurance
Products Liability Insurance
Business Property
Loss of Profits / Business Interruption
Professional Indemnity
Management Liability
Directors & Officers
Tax Audit Insurance
Vehicle Insurance
Machinery Breakdown
Income Protection
Workers Compensation Insurance

As we highlighted above, not all of them may be relevant or appropriate for your business and there are many others we could recommend.

Over the next few weeks we’ll take a look at the most common types of business insurance and explain broadly how they protect you.

TYPES OF BUSINESS INSURANCE REQUIRED BY LAW

As we highlighted earlier, there are certain types of business insurance that are required by law in Australia.

WORKERS COMPENSATION INSURANCE

If you employ people in your business you are required to have Workers Compensation insurance. In fact workers compensation insurance is compulsory for employers in every state and territory of Australia. It provides protection to yourself and your employees in the event that they may be injured at work or become ill due to their work.

Workers compensation generally covers payments to employees while they’re not in work and can include payments for wages, medical expenses and rehabilitation.

COMPULSORY THIRD PARTY INSURANCE

Compulsory Third Party Insurance or CTP insurance is required if you have a vehicle or vehicles used for your business. The specific requirements vary state by state so speak to an insurance advisor to get the most relevant information for your business.

HOW TO BUY SMALL BUSINESS INSURANCE

Understanding what the right package for your business is, can seem like a minefield. To ensure you have the right insurance cover for your business, talk to one of our expert small business insurance brokers and get the peace of mind that you have the right insurance cover, tailored to your specific needs.

As business insurance experts, we can find policies, negotiate insurance contracts and create tailored packages that specifically meet your needs, regardless of your industry even if you operate in a niche sector.