Working as a Financial Advisor requires you to work closely with your clients, giving them the advice they need so they can make the right choices when it comes to their money.
Your understanding of investments, bank accounts and many other products can help your clients to make their money work harder. However, working with clients in this way puts you at risk. These risks surround the advice you give and even the possibility of working negligently and it could make it possible for your clients to make a claim against you. Offering the wrong advice by omitting a simple piece of information could cause you clients to make a wrong decision and this could lead to a claim being made against you. A claim would be made to recover any losses or to seek compensation but if you do not have the right insurance in place then it can be expensive for you to defend.
Business Insurance For Financial Advisors & Brokers
However, business insurance offers the perfect solution because it will protect you from any claim leaving you to focus on your business. Business insurance is created to suit the needs of your business and this means that it will work in the right way for you. If a claim is made against you because you have caused a client to lose money or become injured as a result of incorrect advice, negligence or poor workmanship, business insurance will cover all costs. It will quickly become an important tool for your business that you will rely on.