5 Tips for Finding the Right Insurance for Business Owners

It’s easy for business owners to not think about insurance until something goes wrong – you’re too busy running your business! Insurance isn’t always needed, but when things go wrong, you’ll be glad that you have it.  It’s also something that every business should think about because it can save your business from hitting rock bottom should the unexpected happen.

To help get you started on the right path and make sure you have the right insurance for Business Owners, here are a few tips and tricks.

Common Types of Insurance for Business Owners

Key Person Insurance

Key person insurance protects the business from the financial consequences when a key person within the business dies, is totally and permanently incapacitated or suffers a serious illness. The sudden loss of such a person has inevitable costs such as reduced sales or profits until a suitable replacement is found, as well as recruiting, training and onboarding expenses.

Who is a key person?
A key person is someone who carries out a key role within the business that generates the profits needed for the business’ continuation and growth.

Key persons may include:
• managing directors
• working directors
• sales managers

Guarantor Protection

Guarantor protection can be purchased to ensure that a loan can be repaid in full should a business owner who provides a guarantee for a loan, pass away, suffer a serious illness or total and permanent disablement. In these situations, the guarantor protection insurance is used to pay out these loans and protects the guarantor’s personal assets.

Guarantor protection ensures the business operations are free of further financial burdens given the majority of banks treat the tragic event as a default and often seek repayment or at least a renegotiation of the loan.

Business Expenses Cover

A business expenses policy will provide the business owner with a monthly income benefit to cover the costs of fixed business expenses while they are unable to work for a period of up to 12 months.

Eligible business expenses may include:
• Premises expenses
• Services expenses
• Equipment leasing
• Salaries and related costs
• Fixed contract costs
• General operating expenses

Tips for Finding the Right Business Insurance

1) Do Your Research

It’s always a good idea to do your research before you start to shop around for insurance for business owners It’s important to make sure you know what you’re getting and to make sure that you know how much it’s going to cost you. Here are a few things you should try to find out as you begin to look for insurance:

• What kind of insurance do you need?
• What kind of insurance can you afford?
• What things can be covered by insurance?
• What is going to cost you in premiums?

Knowing what you need and what you can afford is essential when it comes to finding the right type of insurance for your business. Expert business insurance advice from a professional Wealth Protection Adviser in this area is crucial to ensure you get appropriate coverage.

2) Make Quality Your Priority

When it comes to purchasing insurance for your business, it’s vital that you purchase from a reputable, quality company. A quality company will provide you with quality insurance.

While a good price can be tempting, you don’t always get what you pay for. If you purchase insurance from a company that has a great reputation, you’re more likely to get everything that you need at a great price and can enjoy peace of mind that you will be supported should you ever need to lodge a claim.

3) Know the Risks

You can’t get insurance for everything, and some things are easier to insure than others. Some risks are more expensive to insure, and some may be more worth the cost.

It’s a good idea to know what risks your business faces. If you know that you face certain risks, then you can find insurance that will help protect you against them.

Getting insurance for everything may not be necessary. Choosing what risks you want to cover and what risks you’re willing to accept will help you to find the right insurance for your business.

4) Get Referrals

Be sure to ask for referrals. Friends, family and business associates are great resources for finding great insurance for your business. Chances are, they will have at least one great business insurance provider that can meet your needs.

5) Review Your Insurance Regularly

Reviewing your insurance is an important part of keeping your business safe and protected. You want to make sure that your insurance is still working for you.

You want to make sure that you’re still covered for everything that you need, and you want to make sure that you’re not paying for things that you don’t need.

Get Insurance for Business Owners with Newcastle Financial Planning Group

Knowing your options and knowing what you need is going to be essential for you to find the right insurance for your business. If you know what insurance for business owners is needed and you have guidance when selecting your policies, it’s much easier to keep your business safe and protected.

If you are interested in talking to a Wealth Protection Adviser about insurance for business owners, contact Newcastle Financial Planning Group today. Call us or book online to secure your first appointment with us today and learn how we can work together to achieve your financial freedom!