Business Insurance Canberra

As the name suggests, business insurance is a product aimed at businesses to help cover a diverse range of risks. Different types of policies are designed to cater to different areas (with all coverage being subject to your insurer’s terms and conditions and eligibility requirements), so it’s worth taking the time to work out which is most suitable for your business. The coverage types available in Canberra and Australia more widely include:

Public liability insurance

Public liability insurance can cover your business if a member of the public is injured or their property is damaged as a result of your business activity, subject to the terms and qualification criteria set by your insurer. Available covered amounts can include $5 million, $10 million, $20 million and, in some cases, more (by negotiation with your insurer).

What it covers:

1. Third-party personal injury claims
2. Third-party property damage claims
3. The legal costs of defending yourself

Product liability insurance

Product liability insurance may be able to offer your business protection against claims a product you supplied, whether manufactured by you or imported and sold, caused harm to a third party or damaged their property. The covered amounts available under this type of cover are generally similar to those of public liability policies.

What it covers:

1. Claims that a product you supplied caused sickness or injury
2. Third-party property damage claims
3. Legal fees to defend yourself against such claims

Professional indemnity insurance

Professional indemnity insurance can offer cover against claims the advice you gave or service you provided was negligent, sub-standard or caused loss or harm. It may also cover circumstances such as mistakes, incorrect diagnoses, miscalculations and breach of duty. Cover can start at $250,000 and may go up to $10 million (though more may be available by individual negotiation with some insurers).

What it covers:

1. Payment of compensation
2. Payment of damages
3. Legal defence costs
4. Cost of defending yourself during investigations

General business insurance

General business insurance is a package which can offer coverage against other risks, such as those facing your physical business premises and assets. As a bundle, you can often choose to add multiple policies into your general business insurance, including public liability and professional indemnity.

What it covers:

1. Fires, storms, water damage
2. Explosions and impacts
3. Accidental damage
4. Theft following forceable entry into a locked building
5. Theft of equipment which is securely attached to a vehicle

Some of the other cover types you may be able to include as part of your package include:

1. Commercial property insurance (which may offer a higher level of protection for your business premises)
2. Glass breakage (which is a common business insurance exclusion)
3. Business interruption (which can cover your bills if you have to close your business while recovering from an insured event)
4. Cyber liability insurance (which can protect you from many forms of cybercrime)
5. Tax audit (which can cover some of your costs if you’re subject to an ATO audit)
6. Management liability (which can offer cover to business owners and directors against claims of mismanagement)

Accident and sickness insurance

Accident and sickness insurance can cover self-employed individuals who are injured or suffer an illness which prevents them from working and earning a living. Under this type of cover, benefits are ongoing and can be paid for up to one or two years (you can generally choose this period) and are worth as much as 85% of your income (subject to meeting your insurer’s criteria). You can also typically select a waiting period of between seven and 28 days.

What it covers:

1. Loss of income as a result of illness
2. Loss of income as a result of an accident
3. Optional extras including death and disablement benefits