Small Business Insurance: Why Specialised Cover Is Best

Whether looking for business insurance before launching a start-up or seeking better cover than your current deal provides, there are many advantages to opting for a specialised plan relating directly to your field over a standard policy. When it comes to small business insurance, bespoke is definitely always best. Read on to find out why…


Every business is different


Even within the same industries, each business has unique elements that should be taken into consideration when deciding on the best insurance to go for. Unlike specialised policies, standard cover won’t have a tailored approach. So rather than researching general business insurance offers, search for specifics such as shop insurance, café insurance, bed and breakfast insurance and web designer insurance. This way, you’ll find a deal designed to protect your particular type of business.


SMEs are more vulnerable


While large firms have the big budgets and infrastructure to deal with legal claims against them from clients or members of the public, the majority of smaller businesses would be left in a very vulnerable position facing such claims without being adequately insured. Every type of business should automatically have public liability insurance and those with one or more members of staff are required by law to have employers’ liability cover, but not all standard insurance plans feature professional indemnity insurance. This is an essential element protecting businesses providing advice and services from the often huge legal costs of dealing with claims for the likes of professional negligence, breach of contract, loss of data and copyright infringement. While the owner of a shop might not need professional indemnity cover, graphic designers, photographers, engineering consultants and marketing professionals most definitely do.


Optional extras


With bespoke business insurance, it’s possible to incorporate various add-ons into a policy in order to get more comprehensive cover. While many standard policies feature buildings and contents insurance, covering the costs of fixing or replacing anything that’s lost or damaged due to unforeseen circumstances like freak weather, burglaries and vandalism, business interruption insurance would cover any trade losses suffered during a period where you’re unable to run your business. Professionals relying on expensive equipment and tools such as hair stylists and salon owners might want to consider extending the usual buildings and contents cover with a specialised equipment insurance add-on. Specific beauty treatments will also need to be covered separately – especially if they come with a unique set of risks.


Peace of mind


Knowing you’ve chosen insurance tailored to your business will give you that sense of security that’s necessary to get on with the job at hand without constantly worrying about those endless what-ifs. Picking the right insurance provides peace of mind along with properly protecting what you’re building. It’s perfectly normal, particularly when starting out, to feel overwhelmed about insurance. There are so many different policies out there and some of them really don’t even scratch the surface of what’s needed. It’s always best to chat to insurance consultants directly before making a decision. This will enable you to decipher exactly what’s included and what each type of cover means. Assessing the various options available and seeking advice from experts will give you confidence when it’s time to choose. But remember that what’s perfect for one person, won’t be right for you. So carry out your research, shop around and find a bespoke plan tailor-made for your business.



The Insurance Octopus specialises in bespoke small business insurance for SMEs working in a variety of industries across the UK. Get in touch to find out more about the tailored policies available or to request a quote.