Offering both security and stability, insurance is essential for every limited company.
Unless your exempt for specific circumstances, here are the three crucial insurance covers your company will need to have:
- Public liability insurance – Covers you against damage or death to any third party and their corresponding property by your company’s operations. Whilst this form of insurance isn’t legally compulsory, you are still responsible for protecting everyone who may be affected by your company’s work, services or products.
- Employer’s liability insurance – If your company has employees, this insurance is compulsory. It will protect you against any claim made by your employee for things like injuries but, if you’re the only employee of the company and own more than half of its shares, you don’t have to have this cover.
- Professional indemnity – covers your company against any negative claims regarding your quality of work and service.
As well as these three insurance covers, you might want to also consider tax investigation insurance. This covers any costs that may arise during HMRC investigations that take up a considerable amount of money and time.