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Insurance

Every business will require Insurance and premiums paid are tax deductible business expenses. There are a variety of different types of Insurance cover, some of which are a legal requirement, and other optional:

• Public Liability Insurance
• Professional Indemnity Insurance
• Personal Liability Insurance
• Employers Liability Insurance
• Car/Vehicle Insurance
• Buildings and Contents Insurance
• Business Interuption (or Consequential Loss) Insurance
• Credit Insurance
• Sickness or Personal Injury Insurance

Clients at very least will usually expect you to have Public Liability and Professional Indemnity Insurance to cover against an accident when you are on client site, either to you, or the clients property.

Most insurance companies offer a range of insurance packages to meet your business needs, but consider the excess on the policy and make sure the cover is adequate. For all fixed assets or stock the cover should meet the replacement value. In the event of a claim, if you have too little cover, the Insurance Company can reduce any claim payout by the percentage you are under insured.

More advice can be gained from the Association of British Insurers at http://www.abi.org.uk who produce information sheets specifically for smaller businesses.

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