According to a recent survey by Insurance Information Institute, more than 25% of business remain closed, never to operate again following a disaster.
Asbestos, fires, molds, hackers, earthquakes _ there are endless calamities that can result in the closure of your business. Natural or man-made, the key to rising above these disasters lies in your adequate preparations for unforeseen circumstances.
Remember, risks are inevitable and that’s why before you start a business, you must get general business insurance. The cover should be adequate to protect your investments, employees and yourself lest risk having all your sweat negated by the future uncertainties.
4 Benefits of General Business Insurance in Kenya
- It protects your investment
Businesses, large or small requires lots of investment. And as owners carry out analysis on the period of return or benefits to cost ratio, very few (1 in 2000) remember to factor in various risk. Yes, being optimistic is a virtue but these unforeseen circumstances can leave you broke. Imagine for a case where you had sold a significant piece of your land to invest in a supermarket only to have gangsters attack in the middle of the day! Or worse a fire outbreak!!
The general business cover serves to protect your investment. I.e. with the cover, you can be assured of rising again even when you fall.
- It covers you against businesses related losses
Every business involves risks. Take a bank for example, in a case of burglary; the investor can lose up to 45% of their investment. Suppose the ordeal is repeated, it can be safe to say that the investor will fall hard to a point of no return.
Now, that’s just their investment, we’ve not considered the liabilities from the customers. Some may go to an extent of suing the investor, (you know they need their money) which calls for more losses.
With an insurance cover, you’re protected against various liabilities such as injuries that may occur within the business premises, illnesses, theft, catastrophic events etc.
- It gives you a peace of mind
Investors are highly attached to their investments regardless of the size, level of success or the duration of time in existence. With this, they can’t help but worry of the uncertainties that lie in the future of their businesses. Worry leads to stress which may lead to depression or worse mental illness.
Luckily, with a general business insurance, you’re assured of protection against the insured risks and thus can have a relatively stress-free life.
- It protects you against lawsuits and fines
In Kenya, having a general business insurance cover is a legal requirement. Thus, acquiring it saves you from fines charged legally to entrepreneurs who fail to honor that obligation.
In conclusion, a business cover is way important to be ignored. It covers you against various business losses, protects your investments, and gives you a peaceful mind alongside other benefits.
Do you need help choosing the right general business insurance policy? Talk to us.