Special cover for special people
Are you really comparing the market? Price comparison sites are extremely useful and offer the active internet surfer access to multiple insurance quotes at one hit.
However, price seems to be the leading differentiator and not always does cheapest mean best, or even offer the most appropriate cover.
â€śYour ÂŁ7,500 award has been approved...â€ť
Itâ€™s annoying isnâ€™t it when you get spurious emails such as this. OK, so you can dump it in the spam folder or delete it, but farming for injury claimants is big business and is responsible for an ever-upward trend in the cost of insurance.
Economic Review of April 2013
Triple-dip recession avoided by the UK economy
Contrary to a lot of the more pessimistic economic forecasts, the UK managed modest growth of 0.3% in the first quarter of 2013.
Economic Review of March 2013
â€śA Budget for an aspiration nationâ€ť
George Osborne, the Chancellor of the Exchequer, delivered his third Budget this month, but was playing with a very poor hand.
Overall it was a fiscally neutral Budget that saw official UK growth forecasts for 2013 and 2014 reduced from the previously forecast 1.
Business interruption â€“ why getting it right matters
When taking out cover to protect a business, most of us tend to think about the physical assets, such as putting right costs if there is a fire or storm damage, or perhaps after vandalism. But, it is also vital to think about protecting revenue if your premises are out of action and you can't trade.
Business interruption cover kicks in if you're forced to stop trading and lose income as a result. It covers the profits you would have earned, based on your financial records, had the disaster not occurred.
The reasons for this are varied - it could be weather related and the UK has certainly seen some serious flooding in recent years. It may be something totally unexpected - last summer some firms were caught up in the summer riots.
Or, perhaps as a manufacturer, an essential piece of equipment is damaged and will take months to replace. It's not just about the cost of the replacement, but the loss of profits/increased costs of working while you wait.
So, this is an important aspect of your insurance policy - and depending on your needs, it may make sense to talk to your broker to make sure your insurance is adequate. Typically, you will find that business interruption is included with a policy for up to 12 months, however, there are plenty of cases where a longer indemnity period â€“ such as for 24 months - would make more sense.
Say you need extensive rebuilding works - a year may seem an adequate period to be up and running again. But, building materials may take time to source, you could run into planning delays and need to think about improving disabled access for example.
Supply chain issues
You will also need to think about your equipment who supplies this - can it be delivered quickly? Does it need to come from overseas? Some businesses have also downsized in terms of the amount of space they use and now operate from fewer locations. This again can cause problems if you don't have an alternative site to work from.
Commercial insurance is complicated, so set time aside to discuss what is going to be right for your firm. A good broker will not just look to sell you a policy - they will talk through how your firm can be fully protected whatever happens and cover all kinds of business resilience issues.
Business interruption is linked to your main property cover, but based on your broker's advice, you have a number of options â€“ so-called extensions to the cover which may be needed. These can cover all sorts of contingencies such as 'loss of attraction' which means if you suffer a decline in business from customers not wanting to visit or 'public utilities' if your business is impacted by works by these and 'denial of access'. A basic business interruption policy, however, will not include these elements and only cover incidents which relate to damage to your property. Your broker can talk to you about business interruption and ensure whatever happens, you have this most valuable safety net in place.
NOTHING CONTAINED IN THIS ARTICLE SHOULD BE SEEN AS GIVING INDIVIDUAL ADVICE.
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