Whether you’re a sole trader, contractor or run a company, you need to guard against work and business risks. 3. Yes, you probably need liability insurance for your small business. Workers’ compensation insurance. This person should be a licensed professional with a good knowledge of insurance coverages. For the menu below: if you move through the content using the Tab key, sub-menus will expand for each item. Property insurance. Do I need business insurance? What else do I need to know? Whether you're freelancing to make some extra cash, bootstrapping your small business, or expanding your company with new employees, you can benefit from business insurance. Do I need business insurance? Without business insurance, business owners may have to pay out-of-pocket for costly damages and legal claims against their company. He or she should also understand the insurance marketplace. You may need to make emergency repairs to minimise or prevent further damage to your business or your assets. If you’re using your car for business, driving to various offices and sites on a regular basis, in addition to your daily commute, then you’ll need to take out a specialised business insurance policy on your vehicle. Insurance is the cost of doing business – a relatively small cost if you consider that a fire, lawsuit or employee accident could put you out of business if you don’t have adequate coverage. Employers’ liability insurance. Two of the most popular types are General Liability and Professional Liability. Keep copies of all invoices and bills so you can provide them to your insurance provider. You may require several additional types of insurance coverage for business activities from the list below. Every business can benefit from having commercial insurance, and some policies are required by law. The only type of business insurance that’s legally required is employers’ liability insurance. Whether a business owns or leases its space, property insurance is a must. It helps cover the cost of liability claims made against your business. Businesses need business insurance because it helps cover the costs associated with property damage and liability claims. Insurance is a people business. Many small businesses buy these essential coverages: Commercial property insurance, which helps if your business property gets damaged from a covered incident, like a fire. If so, check your policy first to be sure it covers you for any repairs you make. When moving through with arrow keys, screen readers will not always expand the sub-menus This certificate should be displayed in a prominent location to ensure that employees can read it if necessary. What kinds of insurance do you need? Insurance is the cost of doing business – a relatively small cost if you consider that a fire, lawsuit or employee accident could put you out of business if you don’t have adequate coverage. You'll need an agent or broker with whom you can develop a long-term relationship. Professional liability insurance. The answer depends very much on exactly what kind of home-based business you're operating. Liability insurance comes in several different forms. A range of small business insurance products can help protect you and your business from different risks. Insurance can compensate you or your business for losses, but you must get the right type — no policy covers everything. 7 Types of Insurance You Need to Protect Your Business 1. Why do I need business insurance? Professional liability insurance,... 2. When your business takes out an Employers' Liability Insurance policy, you will receive a certificate from the insurance provider. Business Insurance. If your business employs anyone then you need at least £5m of cover, and you could be fined a maximum of £2,500 for every day that you don’t have insurance.