What Types of Insurance Do You Need for a Business?

Some professions, such as architects, accountants and real estate professionals are required by law to have professional liability 

Unseen events can cause damage to business assets and interfere with business activities. It can include weather events, social unrest, theft, data breach etc. This, in turn, can potentially lead to a loss of brand reputation and profits. Thus, it is necessary to protect business at every level with different types of insurance policies.

Medical Insurance

Medical insurance is one of the most common insurance policies required by businesses in Dubai as it is mandatory for residents and expats. The Dubai Health Authority (DHA) has set a minimum coverage level for all medical insurance in Dubai, and businesses need to offer the same to their employees. The medical insurance policy generally lasts for a year, and needs to be renewed annually. Businesses should provide medical insurance to employees as it increases productivity, loyalty and job satisfaction at the workplace. 

Liability Insurance

Liability insurance protects businesses from liability claims made by covering the cost of the same. Although this insurance typically comes in different forms, two of the most important ones are discussed.

  • General Liability General liability insurance covers liability claims that arise when a business causes bodily injuries or property damage to a third party out of negligence. For example, a business employee mistakenly damages the door while repairing a car. In this case, the insurer will pay compensation to the car owner.  
  • Professional Liability Professional liability covers all the costs incurred due to the claims against professional errors, insurance.

Commercial Property Insurance

Commercial property insurance covers all the costs related to damage to commercial buildings, machinery, fixed assets and stocks. It is helpful in case unforeseen events like earthquakes, floods, natural disasters or fire cause damage. Plus, the insurer provides financial reimbursement in the event of theft or vandalism. 

Workmen’s Compensation Insurance

Employees are the greatest assets of a company. Developing and providing a safe working environment along with workmen’s compensation insurance is necessary and mandatory by law. This insurance type covers employees against occupational illness or work-related accidents that can happen during the course of employment. The policy cost will depend on the annual wage, the nature of work and the risks. 

Business Income Insurance

Business income can be in the form of cash, cheques, bank drafts, postal orders etc. Business income insurance helps protect the money in transit, whether safe or on premises. This insurance type protects businesses against theft and robbery.

Auto Insurance

Various businesses use vehicles to carry out operations. Thus, corporate motor insurance can cover the financial cost of damage or theft. In addition, it can protect businesses from financial loss against third-party liability. 

Cybersecurity Insurance

Cyber attacks and data breaches are increasing exponentially. Cybersecurity insurance helps businesses to mitigate the consequences without drastic loss.

If you’re wondering whether business needs insurance, this is the answer – for SURE! Bodily injury, property damage, car accidents, lawsuits, and many other risks can touch you. Whether to empty the pocket in a jiffy or get the right insurance coverage you need! Think wisely!