Business Insurance
Mr Agarwal is a small business owner experiencing decent growth and fame since his breakeven 4 years back. However, two years back, the whole situation became chaotic. There was enormous pressure when his shop caught fire due to a short circuit. After facing significant loss due to property damage, Mr. Agarwal was financially and emotionally impacted.
As an employer, he was responsible for his employees, and as the bread-earner of his family, he had to ensure that his wife and children could afford life’s necessities. At this time, the business insurance he had taken earlier became his ultimate resort. He could recover a significant part of his business losses and pay his employees with the funds.
If this situation rings a bell, it is time to think further. Connect with The Eklavya advisors, who can guide you with business insurance that is tailor-made based on your situation, risk capacity, and overall needs.
Business Insurance
Mr Agarwal is a small business owner experiencing decent growth and fame since his breakeven 4 years back. However, two years back, the whole situation became chaotic. There was enormous pressure when his shop caught fire due to a short circuit. After facing significant loss due to property damage, Mr. Agarwal was financially and emotionally impacted.
If this situation rings a bell, it is time to think further. Connect with The Eklavya advisors, who can guide you with business insurance that is tailor-made based on your situation, risk capacity, and overall needs.
What is business insurance? Do you need it?
As the name suggests, business insurance is a financial shield that protects business owners and any other entities associated with a business in case of a crisis, such as property damage, theft, income loss, employee-related hazards, legal obligations, and more. Different categories of business insurance are mainly based on the insured and their role in the business.
Why do you need Business Insurance?
Investing in the right type of insurance is invaluable for your business’ safety. Check this list to understand why:
Coverage against any natural disaster
A natural disaster may result in losses that include property damage, deaths, and income uncertainty. For example, a business may lose its physical existence and remain dysfunctional for months. With proper insurance, every entity associated with the company is compensated during such a span.
Relief from mental stress
Running a business requires the owner to play multiple roles and take multiple risks simultaneously, resulting in stress. However, by purchasing business insurance, they can relieve all mental stress. It not only improves peace of mind but ensures better productivity, too.
Employee protection
In a business, the services and products offered come second in priority. What is most important is people constantly trying to achieve business growth together. With business insurance, owners can provide financial security to employees and their families and give them the value they deserve.
Safeguards business from a crisis
No one knows what awaits them in the future. Still, with our business insurance, owners at least have the opportunity to opt for financial security for their business, families, and employees and their families in case an unwanted situation arises.
Seamless functioning of business
There is always a chance of significant losses and disruptions in a business. Insurance ensures that operations continue seamlessly even if there are sudden disruptions.
Cost-effectiveness
A crisis may impact both the owner and his business if there is no valid insurance. In that case, the owner will have to cover losses out of personal reserve, which is a more expensive option.
Why do you need Business Insurance?
Investing in the right type of insurance is invaluable for your business’ safety. Check this list to understand why:
Coverage against any natural disaster
A natural disaster may result in losses that include property damage, deaths, and income uncertainty. For example, a business may lose its physical existence and remain dysfunctional for months. With proper insurance, every entity associated with the company is compensated during such a span.
Relief from mental stress
Running a business requires the owner to play multiple roles and take multiple risks simultaneously, resulting in stress. However, by purchasing business insurance, they can relieve all mental stress. It not only improves peace of mind but ensures better productivity, too.
Employee protection
In a business, the services and products offered come second in priority. What is most important is people constantly trying to achieve business growth together. With business insurance, owners can provide financial security to employees and their families and give them the value they deserve.
Safeguards business from a crisis
No one knows what awaits them in the future. Still, with our business insurance, owners at least have the opportunity to opt for financial security for their business, families, and employees and their families in case an unwanted situation arises.
Seamless functioning of business
There is always a chance of significant losses and disruptions in a business. Insurance ensures that operations continue seamlessly even if there are sudden disruptions.
Cost-effectiveness
A crisis may impact both the owner and his business if there is no valid insurance. In that case, the owner will have to cover losses out of personal reserve, which is a more expensive option.
What are the main business insurance categories?
Keyman Insurance
Also called Keyperson Insurance, this solution serves as a shield that protects the business from all losses in the unfortunate event of the death of the insured, who is either the business owner or one of the company’s major stakeholders. It is the best option for business partners, CFOs, COOs, CEOs, and Company Directors.
Benefits:
- Business security during any crisis
- Enhances the credibility of a business in front of lenders, investors, and banks
- Financial security of the main insured (owner or any other stakeholder)
- Improves goodwill amongst vendors and employees
- Safeguards the business since its inception at a low cost
- Tax benefits on premiums U/S 37(1) of the Income Tax law
Employee Insurance
Employers can safeguard their staff against unforeseen circumstances by purchasing employee insurance. The company purchases the coverage and pays the premiums on behalf of the employees to get the coverage and pay the premiums.
Employer Benefits:
- Gain the trust of employees
- Increases employee retention by approx. 40%
- Better customer satisfaction
- Improved employee engagement rate
- Over 4.5x improvement in business success
- Cost-saving in terms of hiring and training new employees
- Tax benefits
Employee benefits :
- Financial security for self and family
- Feeling of recognition
- Capacity to plan for life goals
- Secure funds for post-retirement requirements
Family Protection Insurance
The perfect insurance solution that enables the insured’s wife and children to have unrestricted access to the policy benefits at no additional expense is the Family Protection Business Insurance, commonly referred to as MWPA (Married Woman Protection Act) insurance category. It can be opted by self-employed people, business partners, company directors, and sole proprietors.
Benefits:
- Gives the insured’s wife and children complete policy benefits, saving them from any business liability in a crisis
- Shields the insured’s family against financial crises such as family issues, litigations, outstanding debts, and more
- Financial security of the main insured (owner or any other stakeholder)
- Improves goodwill amongst vendors and employees
- Safeguards the business since its inception at a low cost
- Tax benefits on premiums U/S 37(1) of the Income Tax law
Partnership Insurance
This is the most suitable insurance solution to keep a business running in case one of the partners dies. With the funds from partnership business insurance, the remaining partner(s) can buy the deceased partner’s share or interests from his beneficiaries or legal heirs.
Benefits:
- Capital conservation in case a partner dies
- Ensure seamless functioning of the business in case of an unfortunate event
- Showcase credibility in front of employees, vendors, and creditors
Disclaimer :
The information provided here is for general informational purposes only. The names and terms of policies, as well as the rates and amounts of interests and premiums, are subject to change. It is advisable for customers to verify all details and consult with our advisors before making any investment decisions. The Eklavya shall not be held liable for any inaccuracies or discrepancies arising from changes in policy terms and conditions.