Between developing a business plan, legal registration, determining a business name and branding, acquiring necessary equipment and tools, financial management and more, there are many elements to consider when getting a new carpentry business up and running. Amongst all these initial tasks, and in a pre-profit position, it can be easy for a consideration such as insurance to fall on the backburner.
Appropriate Carpenters’ Insurance cover should not be forgotten, as this can be the difference between your business sinking or floating when disaster strikes. Learn more about the importance of reliable cover and the 6 essential policies to consider for your new carpentry business.
Importance Of Reliable Insurance Cover For Carpentry Businesses
There are a range of risks in the carpentry industry. For carpentry business, insurance offers risk transfer to avoid significant financial losses, legal compliance with policies such as Workers’ Compensation, and assists you meet contractual requirements and client expectations. Insurance protects and offers necessary liability cover, asset protection to cover tools, equipment and vehicles, and employee protection to provide financial support for employees who become injured or ill due to work-related activities.
Ultimately, appropriate insurance cover grants peace of mind, and is able to ensure business continuity when faced with challenging circumstances.
6 Essential Insurance Policies For Your New Carpentry Business
1. Liability Insurance
Including Carpenter Public Liability and Products Liability. Liability Cover is necessary to cover the cost of any legal fees as well as the cost of injury or damage to property of a third party.
Carpenter Public Liability Insurance provides cover in the event of property damage or personal injury to a third party that the business is responsible for, while Product Liability cover provides compensation for any harm or damage caused by products your company has manufactured or supplied.
2. Tool Insurance
As your business and its employees rely heavily on tools and equipment to be able to carry out your work, it is important that you are able to repair or replace them as soon as possible should they become lost, stolen or damaged. This form of insurance can cover the cost of repair or replacement to ensure as little business interruption as possible.
3. Construction Insurance
Construction Works Insurance includes cover for malicious or accidental damage during a construction period, including cover for risks of fire, theft, storm, hail, cyclone or flood. This is recommended, and sometimes contractually required, for contractors, subcontractors, project owners, builders and others involved in the construction industry.
4. Commercial Motor Insurance
If your business requires vehicles for operation, a Commercial Motor policy will provide protection for your vehicles and cover own damage or third party property damage. This will ensure you are able to repair or replace vehicles if necessary and avoid business interruption or financial hardship.
5. Workers’ Compensation Insurance
To protect your employees and employed carpenters in the event that they are injured or ill as a result of work-related activities, Workers’ Compensation is a necessary policy. This is mandatory for businesses with employees.
6. Business Interruption Insurance
If you rely on a workshop or premises to operate your business and your business operations are interrupted, this form of cover can offer compensation for ongoing expenses and lost income. This assists business continuity and ensures your business can make it through this period of disruption comfortably.
7. Cyber Insurance
Cyber Insurance is becoming more and more critical with data breaches on the rise, and is an essential consideration that can leave your business vulnerable if not considered. It is necessary to defend the sensitive, personal information of your business, as well as its clients or customers.
Personalised Carpenters’ Insurance with Atlantic Insurance
Atlantic Insurance has been catering to the various, specific needs of carpentry businesses for many years. Discuss your insurance requirements with us today and begin protecting your business with personalised risk assessment advice and guidance for comprehensive cover.
Any information contained on this page of the website is general advice only and has been prepared without taking into account your objectives, financial situation or needs. Your should consider these, having regard to the appropriateness of this advice and the relevant Product Disclosure Statement (‘PDS’), Target Market Determination (‘TMD’) and Financial Services Guide (‘FSG’), which will be provided following any formal recommendation to you.
