Making every penny count for the resilient high street business owner

“Life is inherently risky. There is only one big risk you should avoid at all costs, and that is the risk of doing nothing.” Denis Waitley

As the cost-of-living crisis hits, adding to the pressures the high street is already facing, businesses across the UK are feeling the pinch. With the rise in energy costs and food prices, petrol and diesel hitting record highs, it has never been more important for the independent business owner, crucial to our economy, to review and compare their insurance policy making sure they have the best protection at the best price for their business, and customers.

“What's the similarity between a raincoat and insurance? It's that you're never really covered as much as you think”

With the sharp rise in monthly outgoings, independent business owners are tightening their business belts, reviewing expenditure and looking at ways they can they reduce costs, one being insurance.

Some businesses are choosing to stick with their current providers and in some cases looking to save money by reducing cover limits, or worse still allowing their policy to lapse, leaving themselves at potential risk of financial loss and having to cover the shortfall themselves.

If the worst happens though, does “not reviewing and comparing” your current policy, offer the best protection for your business? Too much or too little cover can be added costs to your business you can ill afford.

At a time where every penny counts, it’s important to remember, business insurance protects your business when things go wrong. You are looking to protect your business and reduce the risk of financial loss. You're paying for certainty - a fixed premium in exchange for knowing a potentially costly claim would be covered by your insurers.

Understanding what is covered and what is not is vital when looking to make cost savings, every insurance policy will specify inclusions and exclusions or events that will or will not be covered determining terms of coverage.

Taking time to undertake a policy review, prior to policy renewal date, will establish if your existing cover accurately meets your needs and it doesn’t take as long as you think!

Taking a minute to consider and compare your current insurance, will give you confidence you have the right cover, the right package at the right price. Time well spent.

What you should be reviewing before any policy renewal

1.      Stock and contents

Your level of stock held during covid restrictions may have increased or decreased due to consumer demand. Remember flexibility is key when revising and planning your stock cover, ensure you re-evaluate current stock quantities and not only have the level of cover required for current trading but also ample cover during your seasonal peak (golden quarter) preventing ”under insurance”.

2. Public, Product and Employers liability

Some types of business insurance are a legal requirement such as Employers Liability.

It is a legal requirement if you employ staff, even seasonal ones to have Employers Liability and taking time to review how many full time, part time and seasonal staff are employed, and comparing options available safeguards you from fines and reduces the risk of financial loss and having to cover the shortfall yourself.

If you do not have Employers Liability, the Health and Safety Executive (HSE) can fine you £2,500 for each day you don’t have it, with a further £1,000 daily fine for not displaying it.

With the addition of hosting small local events in the run up to the golden quarter and the increase in customer footfall, having a good level of Public Liability is crucial for protecting your valued customers.  Expression Insurance  packages start at £2m Public Liability for small shops and moves up to £5m Public Liability cover for medium and large.

No scare mongering intended, even the most innocuous seeming slip could lead to catastrophic injuries which are very costly.

With Christmas round the corner, canny independents looking to save money and increase sales, continue to plan and evolve their product/menu offering to make the most of the yuletide uplift.

Reviewing levels of Product Liability will give you peace of mind should a customer buy a faulty product ( e.g. a household item which causes a fire or a meal containing a sharp object that causes harm), claimant's costs and expenses would be paid (you no doubt source top quality products and would never experience such scenarios, but it's good to know this cover is here).

3. Increased Turnover

In recent months independent businesses are seeing an increase in footfall and revenues, including turnover right across UK high streets and town centres, be sure you include any increases in your insurance review.

4. Claims service

Business insurance is a service that you pay for and one that you hope you never have to call upon, but should the unthinkable happen, you want it is as stress free as possible and feel confident that the insurer you choose is reliable and will pay out in the event of a claim.

It’s important to remember when looking to make cost savings, not to cut back on maintenance of your shop café or restaurant as doing so may increase the likelihood of a claim and having to pay an excess. The general rule is that an excess is always payable when you make a claim, whether you are at fault or not.

As a small business owner, you look for a “white glove” service, working with a team of claims experts, processing your claim quickly whilst providing clear communication and getting you back up and running as soon as possible, the type of service YOU might provide if you were running a claims team.

Choose a provider whose claims team not only offers a professional service but also additional support for business owners. Expression Insurance Legal Expenses cover is included as standard, saving time and worry for issues such as employment, property and tax disputes. As an Expression customer you gain free access to an online legal service which offer a wide range of document templates from employment contracts and settlement agreements to leases and Health & Safety statements.

You will also benefit from a legal advice helpline providing immediate advice on all legal problems affecting your business 24 hours a day, 365 days a year coupled with tax advice from the tax helpline or use their counselling assistance helpline which is available to your employees and their families, saving money, time and worry.

5.      Change in property value

Rebuild costs rise over time and small business owner runs the risk of being underinsured (the sum insured does not provide enough to cover the cost of damage or loss to items/building listed under your policy in the event of a claim).

When renewing your current buildings insurance take into account that commercial property has enjoyed its biggest month-on month hike in worth of the year, with a 1.1% increase in May, as detailed in https://www.struttandparker.com/knowledge-and-research/large-value-growth-uk-commercial-property

Look for quick, clear, competitive, tailored package, hassle free cover

Understanding independent high street businesses and seeing the passion they have for what they do including the pressures, challenges and setbacks they face, forms the foundations of a great policy offering . Look for an insurer who is passionate in supporting independents, championing small business owners and their ventures, by offering tailored insurance at the right price.

Hassle free insurance in under a minute

Expression Insurance is an independent company set up to serve the independent community. We believe that the service, personality, and knowledge independents bring, are the day-to-day fabric of our lives, the backbone of our economy.

We do all the heavy lifting for you, learning everything we need to about your individual business to create an insurance package tailored to shops, cafes restaurants and bakeries, we even throw in discounts for your great Google reviews, helping to make additional savings.

Our online journey walks you, at a time that suits, through the package selection and buying process in under a minute. Or if you rather, our team of experts are on hand to discuss specific policy, package sizes and cover requirements, giving you the confidence, you have the right cover, the right package at the right price.

Clear, hassle free, quick and competitive cover is only a click, call or connect away.

What next

Select the right package, that is easy to understand, offers the cover you require, is competitively priced and provides a great claims service. If this is put together in a plain-English, time saving way, then all the better.

You need to fulfil your part of the insurance bargain too, by taking reasonable precautions to prevent bad things happening. This means having appropriate security precautions in place, maintaining your property properly and obeying the law – especially in terms of health and safety. If both sides do the right thing, insurance should not be complicated.

Thinking about bad things that “could” happen to the business you love is never nice, but by taking pre-emptive prevention measures you will minimise those things happening and in doing so give you the control, saving you time and money and getting the most out of running your business. #loveyourbusiness

If you want to find out more about how Expression supports independent business owners who love their business visit or view a quote for your business visit www.expressioninsurance.co.uk