As a company director you have duty to operate in a specific way and depending on your industry you may have to meet legal requirements and industry requirements.
As a director you have to think about the way in which you work and the safety you have to put in place for both employees and customers. As with any business, there are many risks involved but you are at risk of having claims made against you for negligence, incorrect advice or poor workmanship. So whether you run a building business, a haulage business or a landscaping business, the risks are there so you need to protect yourself and your business. It is extremely easy to omit crucial information when giving advice and a lapse in concentration could cause you to work negligently and this means that your clients could make a claim against you in order to recover any losses or to claim compensation for injury. Business insurance is a crucial tool for your business which is why you need to put it in place.
Business insurance is designed around the needs of your business and as a director you need to consider many things. While you may never have had a claim made against you there is always the possibility that it could happen in the future. Mistakes can happen and errors can be made so ensuring that you are covered will protect you from the high costs involved with defending a claim.
Also see: Income protection for company directors