Telephone iconCall UsTelephone icon0333 0146 683
Our opening hours
Chevron left icon
Knowledge centre

The Simply Business guide to insurance for small businesses

1-minute read

Jade Wimbledon

1 December 2015

Facebook iconTwitter iconLinkedIn icon

Sorting your business insurance is one of the most important parts of setting up and running a business.

The right policy can provide vital back-up if someone sues you business, or if you’re hit by a disaster like a fire or flood. Here are our top tips for buying a business insurance policy.

Get to grips with cover types

Before you buy, make sure you know your public liability insurance from your professional indemnity cover and that you’re clear on the insurance that’s relevant to your business. Check out our guide for an explanation of the main types of business insurance, including claims examples.

Check how much cover you need

The only type of business insurance that’s required by law is employers’ liability insurance. If you have any staff, you’re usually required to have at least £5 million of cover. For other insurance types like professional indemnity and public liability, check your professional bodies and your client contracts to see if you’re expected to have a particular level of cover. When you’re selecting cover levels also think about the risks your business faces and the possible extent of compensation claims.

Answer questions accurately

Whether you’re buying insurance online or over the phone, give precise details about your business and accurately estimate things like rebuilding and replacement costs. Be sure to tell your insurer about any previous claims and be honest about the security you’ve got in place. If you fail to tell your insurer something important, it may mean that a future claim isn’t paid.

Watch the details

When you’re comparing business insurance policies, check the conditions and exclusions, which usually tell you situations that your insurance won’t cover. Also look at the excess amount, which is the part of the claim that you’ll have to pay. Check the insurers’ claims processes to make sure you’re not going to face a massive hassle if you need to claim, and compare customer reviews of the insurers to make sure you’re opting for a trustworthy brand.

Download our small business insurance guide for an explanation of the main business insurance types, plus lots more tips for buying your policy and other handy insurance information.

The Simply Business guide to insurance for small businesses

Here are our top tips for buying a business insurance policy in a handy PDF guide.

Download guide

We create this content for general information purposes and it should not be taken as advice. Always take professional advice. Read our full disclaimer

Find this article useful? Spread the word.

Facebook icon
Share
Twitter icon
Tweet
LinkedIn icon
Post

People also liked

3 January 20131-minute read

The small business guide to Google Analytics

Our easy-as-peas guide is built for one thing: getting you started with Google Analytics. More and more business owners realise the…

Read more

Keep up to date with Simply Business. Subscribe to our monthly newsletter and follow us on social media.

Subscribe to our newsletter

Categories

Popular articlesBusiness resources from FarillioGeneral businessGuestInsuranceLandlordLandlord resources from FarillioLegal and financeMarketingNewsOpinionProperty maintenanceTradesmanCovid-19

Address

6th Floor99 Gresham StreetLondonEC2V 7NG

Sol House29 St Katherine's StreetNorthamptonNN1 2QZ

© Copyright 2020 Simply Business. All Rights Reserved. Simply Business is a trading name of Xbridge Limited which is authorised and regulated by the Financial Conduct Authority (Financial Services Registration No: 313348). Xbridge Limited (No: 3967717) has its registered office at 6th Floor, 99 Gresham Street, London, EC2V 7NG.