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Uzone.id – As an entrepreneur, running a business is of course full of dynamic conditions. Ups and downs and ups and downs have become everyday food.
And no matter how good the business we run, the risk of losses resulting in bankruptcy still has a high potential. So is insurance needed to save our business which is in decline?
Insurance not only functions as protection for yourself and your family but can also function as protection for your business. Different from life insurance, business insurance offers protection for the business you are managing.
“Business insurance can help you keep your business running and recover from natural disasters, economic crises, and supply chain disruptions,” said Secretary General of the European Federation of General Insurance (CEA), Philippe De Buck.
For those of you who have a business, business insurance is something that is highly recommended for you to do. With business insurance, your business will be protected from various risks, disruptions, disasters, and other things that can cause financial and non-financial losses.
Not only that, business insurance also has various other benefits, namely:
Business insurance can compensate for losses
For those of you who have a business, you are certainly familiar with the risk of loss. However, if you insure your business, every risk of loss, whether small or large, can be covered by the insurance company.
Business insurance has a special strategy in the form of anticipation so that when your business experiences a downturn, your business can continue to run and be protected from the risk of bankruptcy. That way, you can run your business without worrying about losses.
Guaranteed delivery of goods
Of course, business risks can occur anywhere and in any form. Moreover, if your business is related to goods delivery services. By insuring your business, one of the benefits you can get is guaranteed delivery of goods.
With this guarantee, you no longer need to worry about unwanted things while the goods are in the delivery process, such as damage to goods, loss, and other things.
Provides business asset protection
Apart from being able to compensate for losses, business insurance also protects your business assets.
Especially for those of you who have a business in the transportation or property sector. You must insure your business to minimize all risks.
With business insurance, your business assets can be protected from the risk of asset theft, fire, natural disasters, accidents, and other risks. This asset protection can certainly prevent you from worrying about matters related to your business operations.
Become a solid foundation for your business
Providing guarantees and protection for all risks that could occur in your business, of course, can strengthen the foundation of your business to become even stronger.
When you insure your business, it means you have minimized all the bad possibilities and risks that could happen.
If your business foundation is solid, you can expand your business even further without having to worry about negative risks to your business.
“Business insurance can provide peace of mind for entrepreneurs and allow them to focus on running their business without having to worry about financial risks,” said Peter Jones, Director of Circle Insurance Services Ltd.
It turns out that business insurance has very good benefits for the continuity of business activities. Some of the business insurance offered includes:
Engineering Insurance
This insurance guarantees the owner and/or contractor for construction projects and installations, including machinery.
Engineering insurance consists of construction insurance, machine installation insurance, heavy equipment insurance, machine damage insurance, and electronic equipment insurance.
Financial Insurance
Financial insurance can protect against loss of money in storage or during delivery resulting from risks covered in the policy (theft, robbery, loss, dismantling, and damage when sent or stored in a safe and/or cashier box.
Freight Insurance
Transport Insurance is insurance that protects goods transported by land, sea, or air, as long as risks are not excluded from the policy.
Multipurpose Credit Insurance
Multipurpose Credit Insurance is insurance that provides protection to Creditors for losses caused by Debtors or Customers being unable to pay off credit when the credit is due, with the following risk causes: bad credit, death, and Termination of Employment.
Surety Guarantee Insurance
Surety Guarantee is a written agreement as an additional agreement between the Guarantee Company (Surety) and the Guaranteed (Principal) to guarantee the interests of the Guarantee Recipient (Obligee).
If the Principal fails to carry out its obligations according to the applicable contract, Surety will provide compensation to the Obligee in the maximum amount of the guarantee value.
Ship Hull Insurance
Ship Hull Insurance is insurance that provides compensation for damage or loss to parts (frame) of the ship.
Liability Insurance
Liability Insurance is insurance that covers claims from third parties for bodily injury and/or damage/loss to their property as a result of the insured’s business activities.
The decision to insure your business is an important one with many factors to consider. There are several things you need to consider to help you decide whether business insurance is right for you, one of which is business risk.
The types of risks your business faces will greatly influence whether you need insurance or not. Some common risks businesses face include:
- Property disadvantages: Fire, flood, storm, and theft are some examples of events that can cause damage to your business property.
- Business disruption: Natural disasters, power outages, and supply chain disruptions can disrupt your business operations and cause financial losses.
- Lawsuit: Your business could be sued by customers, employees, or other third parties. Business liability insurance can help protect you from financial losses resulting from lawsuits.
- Loss of income: If you are unable to operate due to an insured event, loss of income insurance can help replace lost income.
