Insurance for small to medium businesses

The insurance you will need or should consider for your business will depend on a few different factors – for example, the nature of your business, the services you provide, the assets you have, the risks associated with running your business, and the regulatory requirements of your industry or sector.

Some of the key risk insurance program options for businesses to consider include material loss or damage to property, glass breakage, theft, machinery breakdown, business interruption, electronic equipment, portable contents, tax audit, and money cover.

When it comes down to it, there’s no one-size-fits-all business package that suits all types of businesses – it’s all about finding the options that adequately cover the risks in your business suit you. So before you sign for a business insurance policy, make sure you first seek advice from a broker who understands your business and its risks.

Business insurance can be a valuable tool to help provide financial protection for your business against various risks and liabilities. However, because all businesses are different, it’s not as simple as just purchasing a policy and being done with it. There are a number of steps involved in making sure your business policy is fit for purpose:

1. Assess your risk before you sign up for anything: This involves identifying potential hazards and the like likelihood and severity of risk events. Understanding the specific needs of your industry and operations as they evolve overtime is critical.
2. Choosing cover that’s right for you: This can be trickier than what you may think because policy wording – the terms and conditions, exclusions and inclusions – is often technical and complicated. However, you should base your decision on your risk assessment and the requirements of your business and industry.
3. Purchasing an insurance policy and managing cash-flow: In doing so you may need to weigh up the costs of different insurance solutions against the type of cover you get. Depending on the cost, you may wish to secure insurance premium funding to pay monthly instalments rather than a lump sum.
4. Renewals: When it comes to renewing your insurance policy, you should start reviewing your policy and requirements well ahead of the policy renewal date – especially if you’re working with a broker, so as to give them ample time to find the best cover at the best price, 3 months ahead is bet practice.
5. Claims process: In the event that you need to make a claim with your insurance provider, you’ll need to notify the insurance company at the time of the event, providing documentation and evidence of the loss or liability. Your insurer will assess the claim and determine how much you will be compensated. Broking companies – like Marsh – typically provide claims services to businesses requiring support.

While having an ABN (Australian Business Number) doesn’t mean you must have insurance, you should consider it if you have risks to manage – it will all depend on the nature of your business, the risks involved, and any legal requirements.

Even as a small business or sole trader, the claims made against you can be costly. If you don’t have the funds to cover expenses such as legal costs, compensation, and replacing lost or stolen goods, then you should consider purchasing some form of business insurance. Of course, you will need to assess which type of insurance is right for you.

A sole trader can range from someone running their own pet sitting business to a management consultant for large corporations. Find out if Marsh can arrange insurance for your profession or occupation on our Business listing page.

Business insurance is an integral part of doing business. Without the right protection, you risk losing everything you’ve worked so hard to achieve to one event – be it a storm, fire or burglary.

The most common business package policies include:

• Property insurance (including business interruption insurance) 

• Glass insurance 

• Theft insurance 

• Money insurance 

• Public liability insurance 

• Product liability insurance.

Many insurers offer other cover, such as machinery breakdown and electronic equipment.

The important thing to remember is this: we can tailor your business insurance package to your needs.

Most likely. Your operating licence should state whether you need public and product liability insurance.

Your suppliers and any third parties you do business with may require you to provide evidence of this insurance as part of various processes.

Those processes might be lease agreements, tender processes for contracts, or even credit line negotiations.

The cost of your business insurance depends on a few factors. These can include the:

• Size of your business

• Size of your workforce

• Type of business activities you carry out 

• Property you want to insure 

• Location you operate from.

Your insurer will also consider your fire and security protections, plus any claims history if you’ve had insurance before.

You can also obtain quotes that have a higher excess amount. This can provide some premium savings.

Discuss all these factors in-depth with your Marsh advisor.

There are various exclusions under each section of the policy. It’s important to familiarise yourself with these and ask your Marsh advisor questions.

No. Workers compensation is not included.

When it comes to purchasing business insurance, there’s no one-size-fits-all. In fact, there are as many different types of business insurance cover options as there are businesses. Whether your operation is large or small, whether you work with a team or on your own, whether you work out of a commercial premises or work from home – every business needs business insurance, but not every business needs the same business insurance products or coverage.

There’s a lot to consider, which is why it’s important to seek professional advice from an expert business insurance specialist who can work with you to arrange the right cover, quickly and easily – so you can rest assured that you’re not going to pay more than you have to for your insurance cover.