What are the different types / categoris of Insurance
You wake up every day or stay awake all night working hard for your money and you would like to enjoy the fruits of your labor throughout the future. Preparing for your coming years, to achieve this, it means more than investing appropriately for your ambitions and time horizon. To many, it also involves purchasing the perfect amount of insurance during their working years. But one question is.
How do you choose the perfect policy if you do not know what it is all about?
There are many different types of insurance available for your business. Insurance can be divided into protection for three main categories: assets and revenue, liability, and employees. In this guide , I will take you through the common types of covers from which you can opt .
Assets and Revenue
Fire and Perils:
Protection against loss or damage to buildings or contents caused by fire and other defined events (earthquakes, storm, malicious damage etc). Check your policy for the specific events covered as most policies exclude flood damage.
Protection against loss or damage to buildings or contents caused by fire and other defined events (earthquakes, storm, malicious damage etc). Check your policy for the specific events covered as most policies exclude flood damage.
Ensure your policy includes a consequential loss clause which will provide compensation for loss of profits due to some interruption such as fire, delay, confiscation or detention by customs or other lawful authority, loss of market, lack of performance, loss of contract or depreciation in the value of land and stock.
General property:
This Involves loss of or damage to or destruction of tangible property including any tools of trade, mobile phones, stock or office contents whether they are at the business premises or not.
This Involves loss of or damage to or destruction of tangible property including any tools of trade, mobile phones, stock or office contents whether they are at the business premises or not.
Glass breakage:
Cover for replacing or repairing accidental breakage to plate glass windows, glass display case or glass panels in refrigeration cabinets.
Cover for replacing or repairing accidental breakage to plate glass windows, glass display case or glass panels in refrigeration cabinets.
Electronic equipment:
Provides cover for the loss or damage of electrical, electronic or mechanical items (computers, faxes, printers). It does not cover the cost of general wear and tear or preventative mechanical maintenance.
Provides cover for the loss or damage of electrical, electronic or mechanical items (computers, faxes, printers). It does not cover the cost of general wear and tear or preventative mechanical maintenance.
Machinery breakdown:
Cover against unforeseen and sudden loss or damage to machinery, as well as business risk and liabilities relating to machine use. Also known as engineering equipment insurance.
Cover against unforeseen and sudden loss or damage to machinery, as well as business risk and liabilities relating to machine use. Also known as engineering equipment insurance.
Perishable food:
Covers the loss of perishable food or other stock deterioration due to refrigeration breakdown or power failure.
Covers the loss of perishable food or other stock deterioration due to refrigeration breakdown or power failure.
Fusion insurance:
Covers loss caused by damage to an electric motor by an electric current, and is particularly important for refrigerated stocks. (Sometimes an extension of fire and perils policy).
Covers loss caused by damage to an electric motor by an electric current, and is particularly important for refrigerated stocks. (Sometimes an extension of fire and perils policy).
Damage to Goods:
Protection for goods you are holding on behalf of customers or other goods otherwise in your possession that suffer damaged or loss due to negligence. Goods in transit insurance covers loss or damage of goods during inland transportation.
Protection for goods you are holding on behalf of customers or other goods otherwise in your possession that suffer damaged or loss due to negligence. Goods in transit insurance covers loss or damage of goods during inland transportation.
Export credit:
Protects your foreign receivables against commercial and/or political risks which could result in non-payment of your invoices. It allows you to extend credit to qualified international buyers while reducing the risk of non-payment.
Protects your foreign receivables against commercial and/or political risks which could result in non-payment of your invoices. It allows you to extend credit to qualified international buyers while reducing the risk of non-payment.
Marine insurance:
Covers the loss or damage of ships, cargo, merchandise, terminals, and any property by which cargo is transferred, acquired, or held between the points of origin and final destination.
Covers the loss or damage of ships, cargo, merchandise, terminals, and any property by which cargo is transferred, acquired, or held between the points of origin and final destination.
Fidelity guarantee
(Employee dishonesty): covers against loss of money or goods due to misappropriation, fraud, embezzlement, theft or dishonesty. by employees.
(Employee dishonesty): covers against loss of money or goods due to misappropriation, fraud, embezzlement, theft or dishonesty. by employees.
Loss of money:
Covers theft of cash and other negotiable instruments (cash cheques, postal orders) from business premises or while in transit to and from the bank.
Covers theft of cash and other negotiable instruments (cash cheques, postal orders) from business premises or while in transit to and from the bank.
Unregistered equipment:
Covers against loss or damage to unregistered mobile machines such as backhoes, excavators and diggers. You'll need a separate third party liability policy for these vehicles if they temporarily go onto public roads.
Covers against loss or damage to unregistered mobile machines such as backhoes, excavators and diggers. You'll need a separate third party liability policy for these vehicles if they temporarily go onto public roads.
Product recall:
Provides cover for the costs of recalling a product known, or suspected to be, defective.
Provides cover for the costs of recalling a product known, or suspected to be, defective.
Trade credit:
Provides protection against loss due to credit risks such as protracted default, debtor's insolvency or bankruptcy.
Provides protection against loss due to credit risks such as protracted default, debtor's insolvency or bankruptcy.
Loss of profit:
Covers the loss of profits incurred in the event of some calamity which causes trading to cease.
Covers the loss of profits incurred in the event of some calamity which causes trading to cease.
Income protection insurance:
Provides a replacement income of up to 75% of your gross personal income if an injury or illness prevents you from working. Business expenses can be added to Income Protection Insurance otherwise take out business overheads insurance, which will pay the usual operating costs to keep your business afloat while you are unable to work.
Provides a replacement income of up to 75% of your gross personal income if an injury or illness prevents you from working. Business expenses can be added to Income Protection Insurance otherwise take out business overheads insurance, which will pay the usual operating costs to keep your business afloat while you are unable to work.
There are very many policy provider , you do not need to look too far from where you are,you can start from online advertisements or contact your Legal Adviser. All you only need to educate your self about the available policy provider by asking all the relevant information you need to know about the various options for your benefit,
Tags : Insurance Law