Don’t give your insurer an excuse to avoid paying out if anything ever goes wrong. Get your insurance right from the word go by avoiding these 5 mistakes…
- Stating your occupation incorrectly
If you’re a caterer you’d probably tell your insurance broker that’s your occupation. But are there any other aspects to your business aside from cooking and selling food? If so you might not be ‘a caterer’ in your insurance broker’s eyes, and a catering liability policy won’t help you. Not to worry though; there are other products out there that will work for your business. Always explain the ins and outs of your business to your broker before buying any policies.
- Getting confused over towing
Have you taken out vehicle breakdown cover for a vehicle that you tow? Is your towing vehicle already covered for breakdowns? There’s a good chance you don’t need breakdown cover for your towed vehicle. Make sure you always ask your insurance provider whether your towing vehicle breakdown policy covers the trailer before paying for a pointless policy!
- Forgetting about your personal vehicle
While we’re on the topic of towing… Do you use your family car to tow your catering unit? Have you insured it for catering business use? Even if you only do catering part time, without towing vehicle insurance for catering business use, your car might not be covered.
- Thinking that third party is enough
Sometimes third party cover could be appropriate. But for a catering business? Third party insurance will only cover you for damage caused to other vehicles. Fire? Theft? Damage to your vehicle? Third party cover won’t help you.
Sometimes it’s actually cheaper to get a higher level of protection, so always find out about every level of cover and plump for the highest level wherever possible.
- Not knowing what counts as an ‘employee’
Newsflash: insurance companies view unpaid volunteers working under your instruction as employees. So even if it’s just you and one or two volunteers (who you aren’t paying), you still need employer’s liability insurance. Without it you could leave yourself open to claims from unpaid volunteers after an accident at work.
The golden rule
Remember: if it’s not written down in your policy, you’re not covered for it. So if you look at your insurance policies and feel a little niggle, call your insurance provider and work out what can be done.