Are we a Start-up?
Before we answer the question of whether you need Start-up insurance, we should decide if you are actually a start-up. The term is thrown around a lot in the media, but its meaning is not clear. Essentially, a Start-up business is relatively new and with significant room to expand. This is only a rough definition though. Therefore, Start-ups tend to be united by a spirit of invention and innovation.
Why do we need insurance?
Primarily, you should take out the insurance you need to by law. All businesses need to have Employer’s Liability Insurance at least. For a Start-up, insurance gives you peace of mind, whatever happens. New businesses face more risk than long term companies. Start-up insurance makes sure unforeseen problems do not put you out of business.
What is Employer’s Liability Insurance?
If you hire staff, you will need at least (USD $)5m of Employer’s Liability Insurance. This protects you in case something happens to injure one of your staff. Therefore, this is an essential piece of start-up insurance, however many staff you employ.
What is Public Liability Insurance?
Imagine a guest visits your office and something happens to injure them. They might try and claim compensation from you. Public Liability Insurance protects you from claims made by customers, members of the public or clients you visit.
What About Professional Indemnity?
If you provide professional advice or handle client data, you might need your Start-up insurance to cover Professional Indemnity. This protects you against claims that your clients have lost money as a result of bad services, advice or design.
What Other Insurance do I Need?
You can insure almost any aspect of your Start-up. This could include cover on your premises, machinery or stock. Start-up insurance can cover anything you need to protect. You could cover the temporary loss of individual employees. You could even cover any unexpected interruptions to your business.
Babal Karama Project Management Services specialise in finding you the right deals on business insurance. Whatever stage your company is at and whatever you do, we can find the policy for you. Contact us today for a quote on your Start-up insurance.