(Newswire.net — September 12, 2022) — You are an entrepreneur, and your company is doing well. You started small and then expanded considerably to the company you have now. The business runs well, you get wonderful assignments from your network and work is an important part of your life.
Doing business is your passion and there’s nothing you like better. However, there are also dangers lurking, dangers over which you have little or even no influence. Think of disability because you get sick or a collision or dog bite (Dutch: hondenbeet) that causes you injury. Or liability of you and/or your company due to a mistake by one of your employees.
When we think of business risks, we often think of investments or divestments, does the investment in new machines or a new website pay off or not? And is it wise to increase the budgets for online marketing or is the risk of losing money too great for you and your company?
Unfortunately, as entrepreneurs, we often forget other very important risks for the company. Risks that are not based on a direct decision. However, you can cover yourself and your company for this by taking out one or more insurance policies.
Below we discuss several important insurance policies, including disability insurance and liability insurance for companies.
The occupational disability insurance
An entrepreneur is the most important link within a company. This applies to all companies, from sole proprietorships to large companies with several employees. If you drop out as an entrepreneur, this will immediately have major consequences for your company and therefore also for turnover and profit and your income! Failure as a company can even endanger its survival of the company.
Suppose you are injured in a traffic accident, and you suffer from neck complaints. After a whiplash symptom test, it appears that you have a whiplash. The result is a long rehabilitation time and because of whiplash complaints, the company is out of work. If someone else is liable, you can engage a personal injury lawyer, such as a personal injury lawyer in Utrecht (Dutch: letselschade advocaat Utrecht).
If you are an independent entrepreneur without staff, this probably means the end of the company. This means no turnover, no profit, and no income. You can then hire replacements, but this is expensive, and it is questionable whether the costs of replacement staff outweigh the revenue that this person generates for you. There may be turnover, but no or very little profit and therefore no income! So, if you fail as an entrepreneur without staff, you have a big problem.
With disability insurance, you ensure that you always have an income in the event of illness or injury due to an accident. Even though there is no turnover and no profit, there is income! It is therefore advisable as an entrepreneur to take out occupational disability insurance. You can opt for an insurance policy that pays out a fixed amount or a more tailor-made insurance policy that reimburses the actual loss of income.
Liability insurance
As an entrepreneur, you are liable for the behavior of employees. You are also liable for damage that your product causes to other things or persons. This damage can be high. Because personal injury can include damage due to incapacity for work. But also medical costs, travel costs, help in the household, and other costs incurred are included in this damage.
If you are insured against liability for errors by your employees and damage caused by your products, you can simply forward the received liability notice from a lawyer to your liability insurer. This will then handle the personal injury claim and reimburse the personal injury if applicable. Because personal injury compensation can be enormous, it is very wise to take out liability insurance.