If you’re running a business in the UK and in need of insurance, there’ll no doubt be plenty of insurers scrambling to get your attention.
However, it’s essential that you make the right choice. This will stop you from being underinsured and losing out when you try to claim, or paying extra for a bloated policy with cover you don’t need.
First, the basics.
What is business insurance?
Business insurance, sometimes referred to as commercial insurance or company insurance, is there to protect your company should an unfortunate event occur.
It aims to cover against incidents involving:
- Members of the public
- Customers
- Employees
- Theft
- Adverse weather
- Unexpected events
Policies are often bespoke based on your business’ needs, going by a build-your-own model. The most common types of insurance include public liability, professional indemnity and employers’ liability. The cost of your cover will depend on the industry your business is in, where you’re located, how complex your insurance package is, plus the content/people that you’re covering.
Most insurance is voluntary but strongly advised. However, employers’ liability insurance is a legal requirement if you have employees – even if they’re interns or seasonal staff. Business insurance covers a range business structures, from sole trader to a fast-growth outfit.
Some of the insurance companies are somewhat maze-like in their offerings. That’s why we’ll be helping you navigate and demystify what the providers are selling.
Insurers included in this article:
- AXA
- Direct Line for Business
- Aviva
- Hiscox
- Markel
- NFU Mutual Insurance
- Zurich
- Superscript
- RSA Insurance Group (Intact Insurance)
- Kingsbridge Insurance
AXA
https://www.axa.co.uk/business-insurance
Best for: Small businesses in retail, catering and professional services
Types of insurance: Public liability, employers’ liability, professional indemnity and business contents.
Additional cover: Tool cover, hired tools, business equipment, workshops cover, contract workers, business interruption and legal expenses cover.
Cost: From £78 per year
Direct Line for Business
https://www.directlineforbusiness.co.uk/business-insurance
Best for: Small businesses, sole traders and freelancers, especially home-based and trade businesses
Types of insurance: Public liability, professional indemnity, employers’ liability, buildings cover, content and stock, business interruption, theft, cyber insurance, legal expenses, personal accident
Additional cover:
Additions for trade businesses – tools and business equipment, own plant, hired plant, contract works.
Additions for home-based businesses – Home buildings cover, home and business content and stock, home emergency cover
Cost: Bespoke, depending on the size of your business, the number of employees, the type of trade and your history of insurance claims
Aviva
https://www.aviva.co.uk/business/insurance
Best for: Businesses that need comprehensive insurance
Types of insurance: Buildings and contents, business equipment insurance, business income insurance, employers’ liability, professional indemnity, public liability
Additional cover: Business vehicle and van insurance, landlord insurance
Cost: Bespoke – contact Aviva
Hiscox
https://www.hiscox.co.uk/business-insurance
Best for: Small businesses and freelancers in specialised sectors
Types of insurance: Professional Indemnity, Public Liability, Employers’ Liability, Cyber Insurance, Property Insurance
Additional cover: Data loss, specialist equipment damage
Cost: From £7.85 per month
Markel
Best for: Specialised contractors and consultants
Legal hub and 24-hour legal advice
Types of insurance: Professional Indemnity, Public Liability, Employers’ Liability, Legal Expenses
Additional cover: Specialist cover for different industries
Cost: Starts at £5 per month
NFU Mutual Insurance
https://www.nfumutual.co.uk/small-and-medium-business-insurance/#products
Best for: Rural and farming businesses
Types of insurance: Broken down by sector rather than type of insurance. For example, with retailer insurance, you get public and product liability, employers’ liability, contents and stock, money and malicious attack
Additional cover: Deterioration of stock, terrorism, commercial legal expenses, group personal accident, business travel
Cost: Bespoke – speak to NFU Mutual
Zurich
https://www.zurich.co.uk/business/business-insurance
Best for: Businesses in the finance and tech sectors
Types of insurance: Goes by sector rather than types of insurance. Trader Insurance has up to £5 million public liability insurance, £1,000 tools cover, £400 personal accident cover plus public liability
Additional cover: Depends on the type of insurance you get
Cost: Bespoke – speak to Zurich
Superscript
Best for: Freelancers and small businesses seeking flexibility
Types of insurance: Public liability, employers’ liability, business equipment and tools, buildings and contents insurance
Additional cover: Professional indemnity and cyber insurance, director’s and officers’ cover and commercial legal protection
Cost: Get a quote from Superscript
RSA Insurance Group (Intact Insurance)
https://www.rsainsurance.co.uk/commercial-insurance
Best for: Larger businesses looking for sector-specialised insurance
Types of insurance: Insurance determined by specialist insurance category
Additional cover: Depends on the type of insurance you get
Cost: Contact RSA for a quote
Kingsbridge Insurance
https://www.kingsbridge.co.uk/sme-insurance
Best for: SMEs and contractors
Types of insurance: Professional indemnity, public liability, employers’ liability, directors’ and officers’ liability, personal accident cover
Additional cover: Depends on the industry
Cost: Get a quote from Kingsbridge
Read more
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