5 key forms of cover that all agency owners should consider
When you’re organising the day-to-day operations of an agency, there can be a lot of things to think about. Ensuring that everything runs like a well-oiled machine can be very time-consuming, so the last thing you need is for something unexpected to happen.
Having protection in place can be a good way of ensuring that when problems do arise, you’re able to overcome them and prevent any disruption to your business. Here are five key forms of insurance that all agency owners should consider.
1. Cyber Insurance
Cyber insurance is a type of protection designed to keep your business safe from digital threats, such as data breaches or attacks by malicious hackers.
While many of us know how to take sensible precautions, even the most tech-savvy people can find themselves the victims of cybercrime. Threats such as malware and ransomware can pose serious issues to businesses despite best efforts to stay safe.
Since the pandemic has accelerated the digitalisation of the economy, the need to protect your business from cybercrime has never been more important.
According to government figures, cybercriminals cost the UK around £27 billion every year. Of this amount, around £21 billion comes from the theft of intellectual property.
If you want to protect your business from the possibility of a cyberattack, taking out the right form of cover can give you invaluable peace of mind.
2. Key Person Cover
At most companies, there are usually a few key employees who help to keep everything ticking over. If one of these people passes away, your business could be badly impacted.
Not only could your company struggle to function, but you would also have to consider the cost of finding a replacement with the same skills and knowledge. This can cost a significant amount of money, which is why you may need Key Person Cover to help you absorb the expense.
Having this protection can let you rest easily, knowing that even if the worst should happen to a member of your staff, your business would be able to overcome the shock.
3. Management Liability Insurance
While you’ll probably have high standards for both your personal and professional conduct, you can never discount the risk of having a management issue. This may include allegations such as a breach of trust or defamation.
If someone accuses you, or your managers, of wrongdoing then you may need to pay expensive legal fees to defend yourself, possibly costing tens of thousands of pounds.
Having Management Liability Insurance can provide financial security for both your business and senior members of staff, as it typically pays out for a wide variety of claims. This can help to ensure that you and your management team wouldn’t have to struggle financially while you cleared your names.
4. Office Material Damage and Business Interruption Cover
If your office is damaged, such as by fire or flood, it can be a serious disruption for your business. Not only will you have to pay to replace any damaged assets, but you may also lose income as a result of the incident.
If you’re a small company, a financial setback like this can be disastrous, which is why you should consider Office Material Damage and Business Interruption Cover.
This protection not only covers the cost of replacing any lost or damaged assets but also the loss of income that you would have received if the incident hadn’t happened. This can help you to recover and continue your normal operations as quickly as possible.
5. Professional Indemnity Insurance
As a professional, you would never want to give intentionally misleading advice, but that doesn’t mean that problems don’t sometimes arise. Issues such as accidental breaches of copyright can cause a client to lose out professionally and financially.
If issues do arise, and your client is unhappy with the services you have provided to them, they may be able to take legal action against you.
Not only can this do significant harm to your reputation, but it may also cost you a considerable amount in legal fees for you to defend yourself. Having protection in place can give you peace of mind to know that even if this were to happen, you would be able to absorb the expense.
Get in touch
If you want to protect your business against the unexpected, we can help. Email creative@eggarforrester.com or use our contact form to request a call back from our team.
