We often find great entrepreneurs and entrepreneurs who have dedicated all their effort and energy to starting their project, technological solution or company. However, despite having several years of activity, they are not clear what types of insurance they should take out to protect what they have built.
At O.Brokers we know that it is crucial to have a good insurance program so that this dream, this business idea and all the investment that has been carried out do not fall apart due to the inability to assume an extraordinary expense caused by a claim.
A flood, theft, customer claim, bank/fund claim that has invested in your company or a cyber attack that leaves your systems in check are just some events that can endanger the continuity of your business.
Types of insurance for companies
Today we bring you a little summary about the types of insurance your company needs and what each one is for.
Insurance against damage
If you have an office, factory, laboratory or any physical facility, you must have a damage insurance to protect the facilities and loss of profit from fire, theft, flooding or any other accidental event. Depending on the characteristics of the installations and the activity carried out, we recommend a multi-risk company that combines damage insurance and civil liability, or an all-risk of material damage. Even if the company rents the facilities to a third party, our recommendation is to take out such insurance with a small value of the content (first risk) and that covers all the value of the contents (machinery, furniture, stocks, computer equipment, etc.).
Civil liability
Another much needed insurance is the Corporate Liability or Professional Liability if you offer professional advice. This policy protects the company against third party claims for the development of its activity.
Directors & Officers
To protect the people who run and administer the company, we recommend that you take out D&O (Directors & Officers) insurance, which protects the personal assets of advisors, managers and managers against third party claims.
Key Person
In a capital increase or financing round, a Key Person insurance is often requested, which protects the investment made by the funds in case of death of the founders or key people of the company. The insured person is the key person and the beneficiary in case of death is the company itself.
Cyber Insurance
The insurance with more incidence in recent years is cyber insurance. Any company, in addition to having the appropriate measures to minimize a cyber attack, should also contract a cyber insurance. This way you can avoid financial damage in case of a cyber attack and have a team of experts to help solve the incident in the best possible way.
Insurance specific to the activity
Depending on the activity carried out by the company, insurance will be required for the fleet of vehicles. If the company sells or produces goods, it will need freight insurance.
Benefits for employees
And last but not least, to start any startup is essential to have the best talent. That’s why we recommend offering Employee Benefits as part of your team’s compensation package: health insurance, life insurance, accident insurance and travel assistance.
Remember that the security of your company not only protects its present, but it secures its future.
Contact the O.Brokers team and we will advise you on what insurance your company needs. We will analyze your activity and your risks to make you a personalized proposal for your company.