Making Sure Your Insurance Cover Really Works For You

How to get the right insurance cover

Insurance isn’t the most exciting part of running a business. After all, no one wants to be caught out if disaster strikes. But how do you know if your cover is right for you?

Let’s break it down a bit. Are all the aspects of your business covered should you suffer loss or damage? This might include anything from your commercial property to the products you sell or even reputational harm. Your policy should cater to your business’s specific needs and industry.

If you find that your insurance policy doesn’t quite cover all the bases, it is time to get the right advice. Remember, the right cover for you is the one that leaves you sleeping easy, confident that you can weather any storm.

How Do You Get Insurance Cover Tailored to Your Business?

Just as you wouldn’t want to wear a suit that doesn’t fit, you shouldn’t be trying to squeeze your business into a one-size-fits-all policy.

Start by identifying the unique characteristics of your business. This includes your industry, size, location, and the type of work you do. Then, chat with an insurance expert who can help craft a policy that fits like a glove. And remember, just as your business evolves, your policy should too.

Regularly review your cover to make sure it keeps pace with your business’s growth and change.

How Do You Work Out the Risks Specific to Your Business?

Identifying the main risks your business might face is a bit like going on a treasure hunt. You’re looking for problems, not treasure but the search may provide the same rewards! Every business has its own unique risks, and understanding these is key to getting the right insurance coverage.

Consider factors like your business location (are you prone to natural disasters like bushfires?), the nature of your work (do you work with heavy machinery or hazardous materials?), and even your customer base (do you work directly with customers or other businesses?).

A risk assessment might not sound like the most fun task, but it’s an essential step to ensure your business can bounce back from potential challenges.

What is Business Interruption Cover?

Ever heard of Business Interruption Cover? It’s a bit like that friend who’s always there for you when you’re in a bind. If something unexpected happens – like a flood, fire, or another covered disaster – and you can’t operate as usual, business interruption insurance steps in.

It covers the loss of income that your business suffers after a disaster while your business is closed or rebuilding. This could include ongoing expenses like salaries, rent, and even the extra cost of operating out of a temporary location. So, with business interruption cover, even when the going gets tough, you can still keep going!

How Do You Know Which Insurance Cover is Mandatory and Which is Optional?

In the world of insurance, some coverage is mandatory, like workers’ compensation if you have employees. Others, like public liability or professional indemnity, may not be legally required, but they can be just as important, depending on your business.

Understanding which is which can be a bit like trying to understand the decisions of an AFL umpire! But an experienced and knowledgeable insurance broker can guide you through. At RSM Tasmania we will help you understand the requirements in your state and industry, and even help you identify optional cover that may be beneficial for your business.

 

Talk to Roger Hosie from #RSMTasmania.
Call Now! (03) 6244 7854, or email roger@rsmtasmania.com.au today

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