Small business insurance

Frequently asked questions

• Is business insurance a legal requirement?

  Most types of business insurance are not a legal requirement. Employers’ liability cover is an exception to this. It is a legal requirement for businesses that have workers, even on a part-time or temporary basis. It’s also important to bear in mind that other types of insurance, such as professional indemnity cover, might be required by regulatory bodies within your industry. It may also be specified in your contract with a client that you’re required to hold certain types of business insurance before beginning the work.

• Can I get insured before I register my business?

  It is possible to get business insurance before you register your business and before you start trading. However, insurers will need to know details such as your business address, trade type, projected turnover and business structure (for example, limited company, sole trader, etc).

• Can I still be insured if I have had a CCJ/IVA?

  Some insurers are stricter than others when it comes to CCJs (County Court Judgments) and IVAs (Individual Voluntary Arrangements), but having a CCJ or IVA doesn’t necessarily mean you can’t obtain business insurance. If you have a CCJ or IVA and would like to insure with us, please call our team on 0800 640 6600 so that we can understand more on your personal circumstances to see if our insurance would be suitable for you.

• Do I still need small business insurance if I work from home?

  Working from home does not mean you don’t need small business insurance. For example, if you have employees, you will still require employers’ liability insurance, and if you provide professional services or advice to clients, it is strongly recommended to take out professional indemnity cover. There may also be a variety of other types of small business insurance that you need.

• Can I run a business without business insurance?

  With the possible exception of employers’ liability cover, business insurance isn’t legally mandated. However, you should consider the risk to your finances of operating without the relevant types of protection in place.

• What limit of cover should I choose?

  When choosing your limit, you should first check if your clients require you to have a certain amount of public and product liability, or other type of business insurance, before entering into a contract with you.

  If there is no requirement, make sure you have considered worst-case scenarios and the costs that could likely be involved with not only defending the allegation, but also the compensation you might have to pay to correct your mistake. Markel offers limits ranging from £1 million to £5 million, so you’ll get the right cover for your business’ needs.

• My business undertakes work with clients outside the UK - can you provide cover for it?

  We are able to insure businesses that undertake a small amount of work from clients based overseas, however it is subject to our underwriting criteria. Get a quote now to find out.

• How are Markel Direct regulated?

  Markel International Insurance Company Limited is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Find out more on the Financial Services Register.

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