10 Myths About Business Protection Insurance

Business protection is one of those things many clients know they should do something about… but often put off. 

Sometimes it’s because they don’t know where to start. Other times it’s because they’re relying on some outdated advice or misunderstandings that make protection seem unnecessary, expensive, or complicated.

Here are 10 myths about business protection insurance –

1. “Business protection is only for large companies.”

Small businesses often face greater risk if something happens to a key person – making protection even more vital.

2. “It’s too expensive.”

In reality, cover can be tailored to fit a range of budgets and priorities – and the cost of not having it can be much higher.

3 “It’s only for the business owner.”

Key employees, directors, and shareholders can all create risk if they’re suddenly out of the picture.

4. “We’ve got insurance – that’s enough.”

General business insurance doesn’t usually cover the financial impact of losing a key person.

5. “It’s too complicated to sort out.”

It’s easier than most people think – and the right advice can make the process straightforward.

6. “It’s not relevant for small businesses.”

Smaller firms can be even more vulnerable to disruption from unexpected events.

7. “Our shareholders get along – we don’t need formal agreements.”

Good relationships today don’t guarantee smooth outcomes tomorrow without the right agreements in place.

8. “Business protection doesn’t affect succession planning.”

It plays a crucial role in making sure the right people stay in control if something happens.

9. “It’s just another sales pitch.”

Done properly, business protection is part of a broader strategy to manage risk and protect value.

10. “We can deal with it later.”

Waiting until something happens is often too late – and leaves the business and its people exposed.

When you have worked hard to build a business, it’s important to manage the financial risks associated with it and this is where getting the right advice is essential

We offer consultations, risk reports and annual reviews at no cost and with no obligation to help you get the right advice at the right time and make the right decisions. Feel free to contact us if you’d like to discuss further.