Whether you are a startup and are considering insurance for the first time, or a well-established business looking to change insurance provider or increase cover, there are a variety of factors you need to consider in order to make sure you are getting the best value from your insurance cover.
What is business insurance?
Business insurance is all about protection from potential financial loss and goes hand-in-hand with owning assets, property and valuables, and employing people. Insurance allows you to reduce business uncertainty and vulnerability by identifying potential risks and mitigating these risks through the appropriate coverage. Whether you’re self-employed, running a small business, or a larger company, cover can protect you against unexpected costs you otherwise couldn’t afford.
Is it a legal requirement?
Each country will have its own laws, so it is important to do your research wherever you are operating. In Kenya and Tanzania, the only insurance that is legally required is Motor Insurance and we all know we can’t have a vehicle on the road without the right motor cover. Insurance allows you to reduce business uncertainty and vulnerability by identifying potential risks and mitigating these risks through the appropriate coverage.
Do you need business cover?
The key question to ask yourself is, “Can I afford to not protect my business?” – are you in a position to pay the damages or the claims out of your own pocket?
Given that a minor injury in the workplace could result in a claim worth thousands of dollars it would be irresponsible not to have employers’ liability insurance. And, according to Kaspersky, the average cost of a small business cyber breach is more than $86,000, so cyber insurance is often deemed essential.
It’s worth bearing in mind that even though it’s not a legal requirement under certain circumstances, insurance is a necessity. For example: If you’re renting an office or shop space, your landlord might require you to have public liability cover at least. If you’re competing for contracts with public sector companies or working with other businesses certain covers may be required as a prerequisite. And if you are trying to ship items through the port then they may insist you have Marine Insurance.
How do you know what types of insurance you need?
We understand that every business is unique and will have different insurance needs, so we have designed a landing page on the website with a series of questions that help you determine what types of insurance are relevant to you.
Please click here for more information about business insurance.