Legal Updates

Business insurance ''a legal and practical necessity''

Date:  15 Aug 2008

Business owners must take out the insurances required by law, regardless of the budgeting constraints placed on their activities, it has been claimed.

Chris Simpson, account manager of Business Link, advises business owners to assess "what the detrimental effect would be" without the insurance.

Both civil and criminal sanctions may be risked by those failing to adhere to their legal responsibilities where insurance is concerned.

More tangibly perhaps, a lack of insurance may have any "a massive impact" on any business affected by disasters such as fires, floods, hacker attacks, power failures and theft.

Mr Simpson adds that business owners should seek professional and impartial third party advice to ensure they are aware of their directorial duties.

Premierline Direct, the business insurance specialist, suggests that firms leave themselves exposed to potentially "crippling losses" and legal claims amounting to more than £3 billion by failing to secure the necessary business cover.

Vizards Tweedie act for small and medium businesses and deal with all aspects of company and commercial law

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