Business Setup & Legalbeginner
Business Insurance
Definition
A range of insurance policies that protect your business against financial loss from unexpected events, public liability, professional indemnity, product liability, and cyber insurance.
Why it matters
One lawsuit, accident, or data breach without insurance can destroy a business that took years to build. Business insurance is cheap relative to the catastrophic costs it protects against.
Example
A customer claims your product caused an allergic reaction and sues for £15,000. Without product liability insurance, this comes out of your personal finances. With insurance, your insurer covers it.
Related terms
Learn the language of business - and build the systems behind it.
Rich Girl Systems turns 1168+ founder concepts into a step-by-step programme with daily challenges, XP and your own assistant.
Take the free founder quiz