One of the initial expenses to consider when setting up a company is insurance. At the start of any economic activity, incomes are usually low, so it helps to know what insurance is really necessary and which one can do without.

Cost savings are one of the keys to starting a business. As a result, many business owners view insurance as an unnecessary expense. However, there are certain professional insurances that are considered mandatory for every entrepreneur.

In this article, we'll show you what insurance you need if you're thinking about setting up a company. Keep reading to find out!

Types of insurance for starting a business: what insurance do I need?

They exist different types of insurance for companies, depending on whether mandatory or voluntary:

 
• Compulsory insurance according to law and regulations
 
• Recommended or practical insurance
 
• Specific insurance for companies

Compulsory insurance for businesses and entrepreneurs

There is only one type of insurance that all companies should have, and that is the one that compromises the protection of their workers. Other policies are only mandatory depending on the type of company or business vehicle. Below, you'll find all kinds of guidelines you might need to start your business:

Accident insurance

Whether for companies or freelancers, it's mandatory to taketaketake out accident insurance for all your employees. All companies that employ workers must have an accident insurance policy. This insurance covers employee compensation in the event of death or disability following an accident at work. The contract itself specifies what amounts must be insured in each individual case, and even what additional insurance coverage the policy must have.

Civil liability insurance

All damages caused to customers in our facilities or products as a result of commercial, professional or commercial activity are covered by liability insurance. Liability insurance is used to protect the company against harm it may inflict on third parties.

It's not mandatory for all companies, but is mandatory for some groups and companies. For example, if you want to open a bar, gym or restaurant, you'll need this insurance. It will allow you to compensate a person who falls due, among other situations, to the poor condition of the terrain.

Life insurance

Life insurance for employees it is only mandatory in companies that operate under a collective agreement that stipulates this obligation. That is, depending on the productive sector, some companies will be obliged to hire it.

Recommended insurance for companies and the self-employed

Professional liability insurance

It works similarly to the previous one, except that cover the damage it can cause as you grow your business. For example, a doctor must take out professional liability insurance.

Mobile insurance

Nowadays, the smartphone is one of the main work tools most used by all companies and freelancers. Regardless of where you are, you can check the status of your business at any time thanks to technological advances. Un good cell phone insurance, it can save you more than once when you depend on it if you're not in the office.

Car insurance

Like any other vehicle, The company car must be insured by a policy that covers, at least, compulsory civil liability insurance. To this compulsory insurance, it is often useful to add traffic accident insurance and roadside assistance.

Transportation and courier companies, for example, are required to insure the equipment they carry with a policy that covers minimum quantities per kilogram of cargo. Another case may be construction companies and contractors must always take out ten-year insurance, which acts as a ten-year warranty for buyers of new apartments and premises.

In addition, to ensure security and trust in the business as well, it would be optimal to take out other insurance policies which cover the most common risks, such as:

Fire Irrigation

Indispensable in shops and warehouses who sell all kinds of merchandise. A serious fire can cause very significant economic damage and even the closure of the company.

Robs

Theft is increasingly common, especially in areas where high-value goods can be transported without problems. Also, can avoid high economic damage for certain businesses.

Multi-risk business insurance

Multi-risk business insurance is a method in which civil liability, fire and theft insurance are combined, as well as additional insurance such as water damage, atmospheric damage and other activity-specific risks. Highly recommended covering everything in one.

Health insurance for employees

It's affordable for the employer because insurers offer very attractive prices. In addition, The premiums for this insurance are tax-deductible. As a general rule, companies take out health insurance for employees with a double objective: it is an additional incentive for the employee and the company benefits from the agility of private medicine to deal with minor ailments, thus reducing the time spent on medical leave.

Being clear about what compulsory insurance is and the different options that insurance companies provide us with to contract additional coverage, depending on each business, is essential. From having civil liability insurance to a mobile phone with 5G connection for when you are travelling, they can be very necessary to have your business insured and constantly growing. Do you already know what insurance you need?