Basic types of small business liability insurance UK
If you operate a business, you will need to purchase small business insurance to protect the business from various risks that might hit. Small business liability insurance in UK is available for every conceivable risk that might happen. The most common types of small business liability insurance policies in UK, however, include: General Liability Insurance, Professional Liability Insurance, Home-Based Business Insurance and Commercial Property Insurance.
General Liability Insurance
General liability insurance protects business owners from legal tassels that result from claims of negligence, injuries and accidents against a business. The insurance policy provides financial cover for payments of property damage, bodily injury, medical expenses, slander and libel, as well as the costs of defending lawsuits, appealing lawsuit judgments and settlement of lawsuit bonds.
Professional Liability Insurance
Professional liability insurance, also referred as errors and omissions insurance, is designed for business owners who provide services, information or paid advise. The insurance cover protects your business against claims of negligence, errors of commission or omission and malpractice in the provision of services to customers.
You may be required to carry a professional liability insurance to operate legally, depending on your profession. For example, physicians are required by law to take out this insurance to protect both their clients and themselves from risks that might happen in the course of carrying out their duties.
Home-Based Business Insurance
If you run a home-based business, you may need to purchase home-based business insurance cover. Home-based business insurance cover protects you from normal business risks peculiar to home-businesses.
Home-based business insurance, however, protects home-based businesses only so far and you may need to buy addition small business insurance UK policies to fully protect your business from other risks, such as professional liability insurance.
Commercial Property Insurance
Finally, property insurance cover protects your business from everything related to damage or loss of company property. Damage or loss to property covered can result from a wide variety of events, ranging from fire, wind, vandalism and civil disobedience.
Property covered in this policy includes electronic devices like computers and printers, buildings, company files and documents, as well as income, money and business interruptions.
Remember, the amount and cost of business insurance cover varies among insurers. It is advisable to contact an insurance broker or agent to discuss your specific small business insurance needs in UK and the insurance options available to you before you settle for any one policy. This can help in getting the right cover for your business.