Protecting your business through uncertain times.
Given the ever-changing lockdown measures introduced by the Government in an attempt to curb the spread of COVID-19, there has been a rapid change to working practices. Below are some reminders and points to consider to ensure your business is best protected moving forward:
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Remote working has increased – and in many cases is here to stay. Earlier in March many office-based businesses were forced to work from home during the national lockdown and following the Prime Minister’s latest announcement regarding winter distancing measures, the Government advice for people who work in or run offices is to work from home, if you can. With many employees who are normally office based now working from home and having been equipped with laptops, businesses should check the extent to which they are covered for equipment away from their premises. Some insurers are giving free cover, others are not. The sum insured should represent to total value at risk on a new-for-old basis. Please talk to us All Risks insurance which will ensure you are covered for items away from the business premises.
Similarly, any businesses with homeworkers should be asking the staff to complete a Workstations/Display Screen Equipment Risk Assessment. Bear in mind that many insurance policies will include a Statement of Fact which may state that your business is complying with all Health & Safety requirements.
Buildings that are temporarily closed or permanently unoccupied. These can be at greater risk from theft, escape of water, arson or vandalism. Most commercial building insurance policies cease to offer full cover once the building has been unoccupied for longer than 30 days and many insurers insist on regular inspections. If you have an unoccupied commercial property you should inform your insurance broker to ensure your cover is not compromised.
Returning to the workplace – considerations for employers. If your business continues to operate from a workplace location, the prevention of a second wave of COVID-19 infection and the health and safety of employees and the general public becomes paramount. To help employers, please click here for a useful checklist of key considerations produced by RiskSTOP Surveys Ltd.
Has your business changed during the past 6 months? Given the current environment, stock levels, and annual turnover may have changed and that could lead to underinsurance. Any changes to business activities need to be notified to insurers.
All businesses should be undertaking regular COVID-19 risk assessments, as well as putting any new working guidelines for their employees in writing. If you would like to be put in touch with a Health & Safety Consultant please let us know – we have various contacts who can assist.
Additional thought needs to be given to estimates provided to insurers for liability covers (turnover and wageroll). Too low could be deemed misrepresentation in the event of a claim, too high may waste premium. Policies that are declaration linked (i.e. you tell the insurer at the end of the year what the actual figures were, and they charge a retrospective premium) may be safest, if available.
Any business which doesn’t currently have Management Liability insurance (including Directors’ and Officers’ Liability and Employment Practices Liability) should give it serious consideration. Please see the fact sheet below for further information.
Cyber Crime increased during lockdown and continues to rise. No matter how good your IT security and procedures there is still a risk, particularly with the change to working away from offices for many. Remote working has exposed cyber security vulnerabilities, with 65,000 attacks taking place daily. This acts as another timely reminder that if your business doesn’t already have cyber insurance in place we recommend getting advice on the right cover for your business. Cyber insurance cover can be arranged for relatively low premiums. Please see the factsheet below for further information.
Please contact us if you have any question relating to your insurance arrangements or if you would like to find out more about Management Liability and Cyber cover.
We are monitoring restrictions carefully and will keep you updated with any insurer requirements and guidance, should further lockdown measures be re-introduced.
Once again if there have been any changes to your business this year that may affect cover, particularly turnover and the way in which you operate, please let us know.
We hope you find this update useful.