preload image
Skip to main content

Business insurance provides protection against unforeseen risks, including theft, accidents, damage and legal fees arising from public or employers’ liability claims. Without cover in place, it can be catastrophic if something goes wrong.

Some see business insurance as a ‘waste of money’, a significant amount that is paid out with no tangible return. Buying insurance is very different from purchasing a physical item, which perhaps can be used every day, which has immediate value. In this blog, we look at why you should have insurance or similar cover, what is protected, whether any cover options are a legal requirement and more.

What does business insurance cover?

There are many different options to consider, but the cover you will need depends on the type of business you run. Options include business interruption, public liability, employers’ liability, buildings and stock and contents cover.

Reasons why you need insurance for your retail business

  • In some areas, it is a legal requirement
  • It provides financial support for customer claims
  • It protects your investments in property, equipment and products
  • It gives protection for your employees
  • Ultimately, it provides peace of mind so you can focus on running your business

Is it legal requirement to have business insurance?

The only type of business insurance that is a legal requirement is employers’ liability. If you employ any staff on a permanent or casual basis, you must have employers’ liability insurance in place; if you don’t, you can be fined £2,500 per day whilst you are unprotected.
You can also be fined £1,000 if you do not display your employers’ liability certificate or refuse to make it available upon request.

What type of insurance does my business need?

There are many different cover types to choose from, but your business needs will depend on the nature of your business and the risks you need to cover.
These are the most popular types of business cover and reasons why you might consider them:

  • Public liability – covers claims made against you by members of the public, for example due to a slip or trip in your store
  • Employers’ liability – covers employees if they suffer injury/illness as a result of working for you
  • Contents – provides protection in the case of theft, accidental damage or loss due to events such as fire or flood
  • Buildings – cover for your business premises; if you rent, check with your landlord to see what’s covered
  • Stock – covering the costs for replacement of stock that is damaged, destroyed or stolen whilst being held on your premises, in storage or in transit

How much does business insurance cost?

The amount you pay for your cover is based on several factors, including the potential risks involved in your business and the level of protection you require. Some examples of considerations are:

  • Type – some businesses may be considered more dangerous than others
  • Business premises – size and location
  • Claims history

How is a discretionary mutual different to insurance providers?

A discretionary mutual offers an alternative to insurance. Discretionary mutuals can be flexible in their approach, whilst still providing the fundamentals you expect from insurance, such as offering support, security, peace of mind and financial protection.

What does the Retail Mutual provide?

The Retail Mutual provides a range of business cover options to create the ideal protection for your business requirements. In addition, we offer interest-free payment options and have no admin fees, no cancellation fees and no broker fees, saving you money on your cover when you come to us direct. We also have a dedicated UK-based team to answer your calls and, if needed, guide you through the claims process.

How can the Retail Mutual help protect your business?

The Retail Mutual can help protect your business so that you have peace of mind that your livelihood is protected should something go wrong. Whether you run a shop, a food business, a hair salon or a barbershop, call us on 0333 2121 280 to talk through your requirements. Alternatively, you can start your quote online by clicking here.

Opening times

Sales0333 2121 280
Service0333 2121 006
8.30am to 5.30pm, Monday – Friday
Closed Weekends and Bank Holidays

Claims0333 2121 008
9.00am to 5.30pm, Monday – Thursday
9.00am to 5.00pm, Friday
Out of hours 01424 850 333
Special Offer
Business Cover Offer Stamp

Take out business cover with us and receive a £20 gift card*

Call us now on 0333 2121 280 quoting ONLINE20 for an immediate business cover quote

Find Out More