For most businesses, even startups, business insurance should be considered as essential to their survival. Some types of insurance are required by law. Other coverages may be required by your business associates or investors. But business insurance is really about protecting your employees and your investment in your business.
Types of insurance that you can consider include:
- insurance for all your business’s vehicles
- Insurance for all your business’s trailers
- Insurance for all your business’s Goods in Transit
- Insurance for your business’s All Risks – items carried away from your business premises
- And insurance for your business’s Office Contents
Some business insurance policies offer a flat excess to the business owner, making budgeting in the time of a loss much easier. Often a percentage excess is applied by other companies, meaning that the first amount payable by a client can be high when the item being claimed for is of a high value.
- Business vehicle hire or vehicle loss of use. Some business vehicles are purpose-built and a rental vehicle simply won’t be able to temporarily replace your vehicle, which is why you will be paid a loss of use amount per day as an alternative to car hire.
- Business outside of South Africa. Your business activities may not be restricted to South Africa or even to daytime use. Therefore your insurance should also not be restricted. You get insurance policies that offer business use outside of South Africa into several African territories as well as covering you at night time should you conduct your business then.
- Goods in transit. Understanding what vehicle the business owner has on cover and what goods are being transported allows your insurer to better rate your risk exposure. You are therefore able to insure Goods in Transit on a standalone basis or to link the goods to a vehicle insured on your policy, usually leading to a lower premium.