Clema Risk Solutions Clema Risk Solutions
Get a Quote
  • Business Insurance
    • Business Interruption Insurance
    • Business Owner’s Policy
    • Cargo Insurance
    • Commercial General Liability Insurance
    • Credit Insurance
    • Cyber Insurance
    • Directors and Officers Liability Insurance
    • Employee Compensation Insurance
    • Medical Malpractice Insurance
    • Product Liability Insurance
    • Professional Indemnity Insurance
    • Property Damage
    • Public Liability Insurance
  • Employee Benefits
    • Accidental Death and Dismemberment Insurance
    • Critical Illness Insurance
    • International Health Insurance
    • Term Life Insurance
    • Travel Insurance
  • Industry Solutions
    • Asset Management and Funds Insurance
    • Online Seller’s Insurance
    • Schools and Educational Institutions’ Insurance
    • Veterinary Clinic Insurance
  • About Us
  • Resources
  • Contact Us
  • Cargo Insurance
Clema Risk Solutions Clema Risk Solutions
  • Business Insurance
    • Business Interruption Insurance
    • Business Owner’s Policy
    • Cargo Insurance
    • Commercial General Liability Insurance
    • Cyber Insurance
    • Directors and Officers Liability Insurance
    • Employee’s Compensation Insurance
    • Medical Malpractice Insurance
    • Product Liability Insurance
    • Professional Indemnity Insurance
    • Property Damage
    • Public Liability Insurance
  • Employee Benefits
    • Accidental Death and Dismemberment Insurance
    • Critical Illness Insurance
    • International Health Insurance
    • Term Life Insurance
    • Travel Insurance
  • Industry Solutions
    • Asset Management and Funds Insurance
    • Online Seller’s Insurance
    • Schools and Educational Institutions’ Insurance
    • Veterinary Clinic Insurance
  • About Us
  • Resources
  • Contact Us
  • Get a quote
Apr 20

5 key insurances for starting a business

Whenever you start a business, you need to make sure you have proper insurances in place to cover the risks.

Whether your office is based in China, Hong Kong or Singapore, you will face similar risks and you will need to consider the following insurances:

 1. Property all risks insurance (or contents insurance)

As a tenant, you should consider covering your assets in case of accidents and natural disasters, especially if you have expensive assets on site. As the name mentions, it will cover all accidental loss or damage, even without knowledge of the real cause, unless a risk is specifically excluded in the policy wording. Theft, unless committed by a company staff (which is then covered by fidelity insurance) is usually included so there is no need to put in place a standalone policy.

This is the most basic insurance and each insurance package offered by insurers will include coverage for this with a minimum premium. It is recommended to insure at purchase or replacement value, as most assets in an office will usually depreciate quickly. Even if damages are caused by a third party (for instance, water leakage damaging your IT system etc.), you will be able to make a claim under your own policy; your insurer will sue the responsible body.

 2. Employers’ liability insurance

Whether it is called employers’ liability in China, employee compensation in Hong Kong or worker’s injury compensation in Singapore, employers’ liability insurance covers the same thing: the indemnity payable to an employee in case of a work-related injury. The insurance may be compulsory or not – it is compulsory in Hong Kong, but not in China and only in certain cases in Singapore). The indemnity to be paid will depend on the workplace legislation in each country: coverage issued locally by the insurer will take into account the requirements of each country, as coverage and claim conditions will vary between Hong Kong, Singapore and Shanghai. However, an employer has the duty to provide a safe working environment and failure to do so will expose the company to financial indemnities.

Read more about employers’ liability insurance.

 3. Public liability insurance

When running a business, there is always the risk of property or bodily damage to a third party as a result of your business. Public liability insurance covers you in the event of such a third party liability. Your landlord will probably require you to insure the liability in case you damage the landlord’s property or a third party property. You may be required to add them as co-insured under this policy. The coverage is usually extended to your staff while working out of the premises.

If your company manufactures or distributes a product, you will also need to extend the coverage to your product (product liability insurance).

Read more about public liability insurance and product liability insurance.

 4. Business interruption (or loss of profit insurance)

If your premises is damaged due to a natural disaster, your business will be interrupted in the time until the premises are restored. During that time, proper coverage is critical to make sure that your business will be able to sustain the financial losses you will face in such a situation. Business interruption insurance will cover the loss of profit as well as direct losses incurred during that specific time. This insurance is critical for any shop, restaurant or industrial site.

Read more about business interruption insurance.

 5. Professional liability insurance (or professional indemnity)

This type of insurance was initially intended to cover professionals such as lawyers, doctors, accountants, architects, fund managers, etc. Now, however, it has extended to include all kind of consulting work. The cover protects against mistakes in professional acts and omissions, including the giving of incompetent advice. If you are not in a regulated profession where this insurance is mandatory, it will most likely be required by your customers that want to secure your ability to indemnify them if they suffer financial loss from your work. Professional liability insurance policy may include cyber-liability risks to cover direct financial loss following a cyber attack. If not, you should consider including cyber insurance as a standalone policy.

Read more about professional liability insurance and cyber insurance.

These aforementioned insurance policies are very important to consider when starting a business. There are other risks you will need to insure depending on the type of your business, like money insurance, fidelity insurance and director’s and officer’s (D&O) insurance. And of course, you will also need to look at staff insurance, medical, life, disability as well as travel insurance but this will depend on your human resources strategy.

At Clema Risk Solutions, we help you find the best insurance solutions for your business. Contact us at hello@clema-rs.com if you have any questions regarding insurances for starting a business, or any other insurance-related queries.

To find out more about our various insurance solutions for SMEs, please visit our website. 

  • Facebook
  • Twitter
  • Tumblr
  • Pinterest
  • Google+
  • LinkedIn
  • E-Mail

Comments are closed.

Recent posts

  • The 3 levels of liability insurance for technology companies
  • Can I insure my cryptocurrencies?
  • How do I calculate the value of my contents and stocks for my business insurance in Hong Kong?
  • Does your employees’ compensation insurance covers your company when your employees are working from home?
  • Do Startups need business insurance?

Categories

  • Business Insurance (42)
  • Business insurance package (3)
  • Business Interruption (3)
  • Business Owner's Policy (2)
  • Credit insurance (1)
  • Cyber Insurance (5)
  • Directors and Officers Liability Insurance (3)
  • Employee Benefits (6)
  • Employer's Liability (4)
  • Health Insurance (2)
  • Marine Cargo Insurance (1)
  • Online Sellers Insurance (2)
  • Product Liability (4)
  • Professional Indemnity (6)
  • Property damage Insurance (1)
  • Public Liability (5)
  • Service Insurance (2)
  • Term Life Insurance (2)
  • Travel Insurance (1)
  • Uncategorized (1)
  • Business Insurance
  • Employee Benefits
  • About Us
  • Resources
  • Manage your Policy
  • Contact Us
  • Privacy Policy

Subscribe to our newsletter

Offices

Singapore
883 North Bridge road,
#0604 Softbank,
Singapore 198785
T: +65.6493.2428
hello@clema-rs.com
www.clema-rs.com

Shanghai
Room 608, No.1900 Tian Shan Road, Changning District, Shanghai,China
T: +86.21.3251.5535
hello@clema-rs.com
www.clema-rs.cn

 

Hong Kong
99 Hennessy Road
Bayfield Building, Room 2301, 23F
Wanchai HK
T: +852.5508.8017
hello.hk@clema-rs.com
www.clema-rs.com.hk

France
4 Rue des Orphelines
77160 Provins,
France
hello@clema-rs.com

Linkedin
Made by Them You & Me
Thank you

Thank you for your interest in Clema Risk Solutions. We will respond to your inquiry in the next 24hrs.

What are you looking for?

Business Insurance OR  Employee benefits

Enter your details to proceed

 

Enter your details to proceed

 

 

Enter your details to proceed

 

You are a resident in:

Singapore

You need insurance for

An Individual OR  A Group