New Start-Up Insurance

If you're just starting out in business there are a million and one things to remember and do before trading commences. And as finance is often tight when a new business is launched you can now benefit from advice, guidance and potential savings on the insurance your new business needs.

Whether it's cover for stock, premises, buildings, employees, liability or indeed any type of business insurance for your new start up business we'll discuss your requirements and will offer advice and recommendations will the sole aim of getting you the cover you need...at the right price.

Because we're the choice of many new start businesses now could be the perfect time to see how we can help you.

To see how you could benefit from letting Northern Counties provide your new start business insurance request a quote above or call us on 0191 482 1219 during office hours.

Whether you have premises or are working from home make sure you and your new business gets the cover and protection you need by calling the New Start Insurance experts.

"Being a new start-up we needed advice on the appropriate and required levels of cover at a premium we could afford. Northern Counties searched the market to provide us with the best value policy they could find, which offered all the cover we needed. They kept us up to date with their progress and offered a level of service we would be happy to recommend"

Andrew Kirby
Proprietor
Raise the Bar Cleaning Contractors

New Start Business FAQ

Q1. What Insurance cover do I actually need?

There are many different types of insurance policy available for new start businesses and it's vital you get the cover you need. Using an insurance broker like Northern Counties is extremely useful as we can explain the jargon (that the insurance industry is famous for!), what cover you do and don't need and answer any questions you have. The aim being to make sure you get the cover and protection you and your new business needs and you don't pay for cover that isn't required.

Compulsory insurance

There are two compulsory insurance requirements all business owners should be aware of. While they are compulsory they only affect you if you have employees or a commercial vehicle.

The most important of these is Employers' Liability (or EL); if you employ anyone, even on a casual basis or part-time, you'll need this cover. EL will cover the cost of any compensation you may have to pay out if your employees are injured, or they suffer an illness caused by work.

If you use a vehicle for business - no matter if it's your own car or a company van - you must have motor insurance. If you use your car for work, as well as personal use, you need to make sure that your insurance certificate covers both types of use and this will mean extending your existing policy to Class One.

If you want other drivers to use your car for business use then you'll need Class Two cover. And if you need to be covered for commercial travelling (ie travelling from place to place in search of customers) then you'll need Class Three cover.

If you have a van or car used specifically for business you may also need commercial vehicle insurance. This cover should provide you with a courtesy vehicle while yours is being repaired and third party cover for any trailer attached to your vehicle.

Basic business insurance cover

Here's a quick round-up of the most important areas any business insurance policy should cover. Don't be tempted to cut corners, you could find yourself paying for costly legal actions if you haven't got adequate cover.

Your property

You will almost definitely need contents insurance and you might well need buildings insurance too. If you lease your premises check with your landlord to find out who is responsible for insuring the building. Both buildings and contents should be insured against a range of risks including fire, theft and flood and for the full cost of replacing them. This coverage can also be extended to include accidental damage.

Business interruption

This covers you for any costs incurred should your business suffer a fire, flood or theft. These costs include moving to other premises while yours are being repaired, covering the cost of temporary rental equipment and any loss of income or profit.

Deterioration of stock

If you sell food or other perishable goods you're going to be in trouble if your freezer breaks down for example, which is why you need to be covered for deterioration of stock.

Portable equipment

This covers items such as mobile phones and laptops against fire, theft and accidental damage both on and off your business premises. For anyone that spends a lot of time travelling as part of their business, this cover is crucial.

Goods in transit

If you need to haul your products around the country then it's worth investigating goods in transit cover. This covers the items being transported for damage, loss or theft whether they're being carried by road haulier, courier, by post or in your own vehicle. The policy should also cover you for other business journeys such as door-to-door deliveries and making trips to the cash & carry.

Business money

Covers the loss of cash or cheques either from your premises or in transit.

Your liabilities and expenses

The following types of insurance serve a dual purpose; they can provide compensation if you suffer financial loss or damage and they also provide protection if you're the subject of legal action.

Public liability

This protects your business if it's held legally liable for personal injury or damage to property.

Product liability

If you manufacture or supply goods, there's always the chance that your products could cause damage to a third party or to property and that's why you need cover for Product liability. For more on Product Liability click here.

Professional Indemnity Insurance

This cover is important for professionals offering a service or advice and it covers you against claims that might arise because your work was negligent or mistaken. For more on Professional Indemnity Insurance click here Professional Indemnity

Creditor Insurance

This protects a lender if you can't meet your loan, overdraft or HP repayments due to an accident, sickness or death.

Partnership Protection/Shareholder Share Purchase/Key person cover

In a partnership or limited company, if one of the partners/shareholders dies, or suffers a critical illness, the other partners/shareholders are often financially vulnerable. This insurance covers you for the possible costs involved.

You may want to think about investing in Director Share Purchase, this protects the interests of co-owners of the business and family members in the event of death. Essentially each owner agrees how much his share is worth and legal papers are put in place to makes ure that should anything happen the co-owners buy out the family of the deceased for a fair value.

Permanent Health insurance

This cover gives you a replacement income if you're unable to work due to an accident or illness or you need an operation. The insurer usually pays benefits until you return to work, reach retirement age or die.

You might also want to have private healthcare for yourself and your staff - in this case you should also investigate Private Medical insurance cover.

Critical Illness insurance

Pays out a lump sum if you suffer an illness that's not fatal and can be used to protect a partnership or key person. It's very important to check the small print here, especially if the person you want to insure has had previous illnesses

Legal expenses

This covers the pursuit or defence of legal actions. Comprehensive policies will include costs incurred in employment disputes, tax audits, investigations and tribunals.

Intellectual Property Protection

Intellectual property could well be one of your business's biggest assets is its intellectual property - designs, inventions and so on - and you should protect this asset. Be warned, many inventors have lost control of their patents because they couldn't afford the cost of defending them.