09 Feb Are you correctly insured?
Guys, Insurance is not a sexy topic to talk about, I know that. It’s a grudge purchase, something you pay for every month and hope you’ll never need to use, and I get it. Insurance is an uncomfortable topic to discuss, which is why I am discussing it. The more we have these uncomfortable discussions, the less uncomfortable they become to have.
So let’s jump into it…
I have two types of insurance for my personal needs, household insurance, and income protection. Household insurance is for anything that goes wrong in my house, a burglary, burst geyser, etc. It’s important when having household insurance to take note of what exactly you have in your home and what the replacement value of each item is. You literally need to take stock of every Tupperware and spoon in your home and how much it would cost to replace them all. That’s the only way to check that you’re accurately insured.
I send my insurance company an excel sheet of what items I have, with their replacement values next to them, with links and images. I pop these into a google folder and add to it as I get new items. This is the only way to ensure your insurance company doesn’t say that you’re under-insured and that’s why they will only pay a certain percentage out when it’s time to make a claim.
Income protection is absolutely vital in my opinion, I work for myself and I need to protect my income should I no longer be able to work. Are you protecting your livelihood?
What other types of insurance do you get?
I met up with Pieter-George Erasmus a broker from Lifestyle Brokers No 1 (https://www.lifestylegroup.co.za/) to discuss other short-term options, while they may not all appeal to me, they may very well appeal to you. The lifestyle group prides itself on being hands-on with their clients and they ensure that only the best service is experienced, not just at the sales stage, but throughout the lifecycle of the policy and at the claims stage.
The lifestyle group can assist with the following insurance needs:
- Domestic (household) insurance (I think everyone who has a house needs this type of insurance)
- Business / commercial insurance (For anyone with a business)
- Aviation insurance (For all the jet setters with their own airplanes)
- Agricultural insurance (For farmers)
Do you know about the different types of liability insurance available to you as a business owner?
Here are five options that could benefit you and your business:
- Cyber liability insurance: To protect businesses and individual users from Internet-based risks, relating to information technology infrastructure and activities.
- Professional indemnity: Covers legal costs and expenses incurred in your defense, as well as any damages or costs that may be awarded, if you are alleged to have provided inadequate advice, or services for example.
- Directors and officers liability: This is liability insurance payable to the directors and officers of a company, as indemnification for losses or defense costs in the event an insured suffers such a loss as a result of a legal action brought for alleged wrongful acts.
- Contractor’s liability: Insurance purchased by contractors that provide design and building services and includes coverage of mistakes made by the contractor as well as errors made by third-parties hired by the contractor, such as engineers, architects, and other vendors.
- Errors and omissions: Protects companies, their workers, and other professionals against claims of inadequate work or negligent actions.
Another term you need to look into, should you have your own business is the below.
Excess waivers/excess reducers:
Should a truck valued at R1,4m be written off, and the excess is 10% of the claim in the event of a total loss, the excess will be R140 000. Lifestyle offers an excess buy down product that will reduce the excess to R5000.
Should you wish to look into these insurance options in more detail please do contact Pieter Erasmus, he can advise you on the best insurance options for your business.
Specialist Insurance Broker