Finance >> Business Insurance

Business Insurance

A must for your Business.

There are many risks associated with a business. Losses may amount to due to death of an employee or you might lose a key employee. There are also losses due to natural calamities like fire, flood etc., which may cause significant damages to both men and property. Fortunately, insurance companies are providing Business Insurance plans which can help you safeguard your business against financial losses. Through these Business Insurance plans, you can not only cover your staff but can also cover your business property like office-premises, machinery etc. These insurance policies are provided by many insurance companies in UK.

By paying a small amount, every month, for your Business Insurance, you will be able to safeguard your company from financial losses due to unpredictable events. The premium amount depends on the risk associated with the business. For example, a company which is in to making chemicals may have to pay a more premium than a company which manufactures children toys. It is because there is a greater probability of accidents and explosions in a chemical company as compared with the latter.

It is very important to adequately cover your business as anything left out can lead to heavy monetary losses. The premium amount will depend on what amount you are seeking insurance for. People have a tendency to keep the accounts of the worth of their machinery and other items low so that they have to pay a less premium amount. But, experts warn against such practice as it may do more harm than any good. In the same breath, they also warn against overestimating the worth of the property as it may shoot up the premium amount of your Business Insurance.

There are several points, worth consideration while availing a Business Insurance plan. There may be several provisions in the contract agreement which you need to follow to make a claim. For example, you may not be paid for losses due to fire if you don’t have adequate fire-safety equipment in place. Also there is a time period under which you need to make the claim for the losses which needs to be religiously followed upon so that you don’t face any difficulty in receiving the claim.

In case of any eventuality in your Business, you need to intimate the insurance company. The company will verify the incident and the claims through its people and once it is done then only you will receive the amount. In case of robbery or other criminal events, you need to file an FIR with the local police and produce a copy of the report to the insurance company. Make sure that you understand the terms and conditions of the policy you are opting for so that you get claims on time and your business keeps moving.