Insurance

What steps can you take in response to the Government’s latest COVID-19 announcement?

The end is in sight for the UK’s struggling high street as the Government have set the date of April 12 for the resumption of business, provided the current vaccination target is achieved.

 

However, given the dual impact of Brexit and a global pandemic, which has resulted in 54% of SMEs having less confidence in their future stability, there's a long way to go before we'll recover from the events of the last 12 months.*

 

To make the route to recovery easier for you, we've outlined considerations you should be taking into account.

 

The rule permits the reopening of all non-essential retail, personal care premises, salons and gyms. Pubs and restaurants are permitted to open outdoor only.

 

The newest four-phase strategy aims to end all restrictions by June 21.

 

Whilst bookings have never been higher within the hospitality industry, predictions have been made that the sector will see losses of £1.5 billion compared to normal trading times.

 

That is due to the fact that despite 75% of pubs having a beer garden or outdoor space, only 40% are likely to have enough space to pass COVID-19 risk assessments without struggling to break even.**

 

Those who plan ahead will stand the best chance of returning to profitability, so if you're in any doubt about your potential profits or losses, we'd advise looking into the government's available support schemes.

 

 

Strategies for reopening your business after COVID-19

 

1) Plan for a safe return

2) Carry out a COVID-19 risk assessment

3) Implement cleaning and hygiene procedures

4) Maintain social distancing where possible

5) If space is limited on your premises, explore other solutions, such as offering a takeaway option or setting booking windows for your customers

 

 

Long-term strategic planning

 

When business is running ‘as usual’, long-term planning is often postponed, as day-to-day time-sensitive operations take priority.

 

So use this free time to review and adjust your three- and five-year plans.

 

It's also important to note that if you adjusted your insurance policies over lockdown, to account for less stock and new demands on your business, you may need to re-examine where you are exposed.

 

 

How we can help you

 

The prospect of reopening for business is an exciting one and preparation is key for a smooth start.

 

To fulfil your business insurance needs, please don’t hesitate to contact one of our brokers.

 

*Dun & Bradstreet

**British Beer & Pub Association

 

The most common mistakes and how to avoid them

The world of insurance can seem complicated at times, and it’s understandably easy to get confused with the full range of cover available without guided help.

 

Once you've obtained the right policy, there are a number of common but avoidable mistakes that could lead to a claim being unsuccessful.

 

Here are key examples that you should bear in mind to safeguard your personal and commercial interests.

 

 

Home insurance

 

One of the worst mistakes a homeowner can make happens before an incident even occurs.

 

Failing to read your insurance policy carefully can cause serious problems and leave you vulnerable.

 

Where you're unclear of the policy limitations and specifications, we'd always advise speaking to an experienced advisor or broker.

 

Some homeowners automatically presume their property is covered by weather damages when only certain damages may be eligible for a claim.

 

Likewise, one of the biggest errors in judgement we see is failing to lock all windows and doors when exiting the property, or failing to use a home alarm system when it has been included within the initial insurance quote and cover.

 

Opportunistic burglaries can happen at any time, so even if you're going somewhere close by, you need to make sure your home is secure. 

 

Another area that can confusion is with landlords and their tenants when it comes to buildings and contents cover, leading to no cover being organised at all.

 

 

 

Business insurance

 

A common issue business owners can run into is all to do with their business description not being accurate enough.

 

Many business owners ignore the small details and refer to themselves as a ‘marketing company’ or a ‘trades company’, and skip on details that can cause major problems when trying to make a claim.

 

Missing out key information in your business description can lead to all sorts of problems. Lack of detail often means an insurer can’t fully understand your business and can make the claim process difficult.

 

Estimations and guesswork also have a huge impact on the success of any future claim.

 

Six out of ten (62%) cyber insurance policyholders have reported that their premiums are based on averages and other unknown factors, rather than an accurate analysis of their own needs.*

 

This leaves them vulnerable should a cybercrime attack actually happen.

 

 

Car or fleet insurance

 

Consumers may decide to go with the insurance provider that is the cheapest to save money, yet this often ends up costing you more in the long run.

 

According to a recent survey, British motorists are paying a ‘loyalty tax’ to their insurer for automatically renewing their insurance, which wouldn’t be there if the motorist had switched provider.

 

This mistake is costing each driver roughly £277 and a collective £2.1 billion for all British drivers combined.

 

Not updating policies also trips up policyholders, including for changes in address, employment or factors related to the named driver(s).

 

 

How we can help

 

Struggling to understand if your insurance plans are right for you?

 

Speak with a dedicated member of our team now and get the insurance clarity you’re looking for.

 

*GOV.UK