Insurance reduces your risks and covers your financial losses should an insured risk event occur.
Your business needs insurance to cover risks associated with your liabilities, assets and income.
The type of insurance you need depends on your business and industry.
Your business may have compulsory insurance, such as:
- worker’s compensation insurance to cover your employees
- third party personal insurance, for any motor vehicles you own (through vehicle registration)
- public liability insurance, for certain types of companies and professions.
Other insurances are not compulsory but should be considered.
Liability insurance protects you in cases where you are found liable for damages to others, such as:
- a third-party death or injury
- loss or damage of property or monetary loss as a result of your negligence
- damage or loss as a result of advice you gave, or your provision of unsafe products or services.
You should also consider personal accident and illness insurance so you’re financially secure should an accident or illness prevent you from working.
Read the details on insurance proposal forms and ensure you understand what is included and excluded from a policy.
Consult an expert in the field to help you identify and access the cover you need.
Talk to a number of registered insurance companies and brokers to discuss what is best for your business.
Insurance brokers can look at different insurance companies to help you get the best deal. Check Australian Securities & Investments Commission (ASIC) professional register to make sure your broker has a current Australian Financial Services (AFS) licence - they must have this to operate.
For more information about business insurance, visit the Australian Government’s business website.