Business, industry and trade

There are three broad categories of insurance needed to protect your business.

On this page:

Liabilities insurance
Assets insurance
Income insurance

1. Liabilities insurance

1.1 Worker's compensation

Accident and sickness insurance cover must be provided for employees through an approved insurer. In South Australia, the approved insurer is The Workers Rehabilitation and Compensation Scheme  - ensures South Australian workers can access professional health care, claims management and financial support for workplace injury.

Some of the major entitlements under the Workers Rehabilitation and Compensation Act 1986 are:

• weekly payments of income maintenance
• returning to work
• medical and associated expenses
• lump sum compensation for permanent disability
• redemption lump sum payment.

If you have any questions about your obligations or your employees' entitlements, check with WorkCover SA or call the WorkCover information line on 13 18 55.

1.2 Liabilities to customers or the public

This may arise from the operation of your business, from products sold and supplied, or from professional negligence.

Types of liabilities insurance include:

• product liability
• public liability
• professional indemnity.

Public liability insurance is considered essential for all businesses. It provides cover for bodily or personal injury and damage to property.

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2. Assets insurance

This takes many forms and each policy is designed to stand alone and not overlap any other policy.

Types of assets you may wish to insure include:

• building and contents - may include losses incurred as a result of fire, impact, storm and tempest, malicious damage and theft
• cash - including loss of cash held on the business premises, in transit or held at home
• glass - it is common for tenants to be required to insure plate glass against breakage in leased premises)
• machinery breakdown
• computer damage - including reinstating data and increased cost of working
• motor vehicles.

Premiums depend on the underlying risk.

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3. Income insurance

This covers several areas:

• Loss of profits or revenue - your business must be able to survive after damage. A profits policy helps maintain the trading result regardless of the loss. Remember that after a fire wages must be paid or employees laid off (losing key staff can be a problem), customers may go elsewhere, records could be lost, and loan repayments, leases and other debts continue.
• Personal sickness or accident of the business owner - enables your income to continue in the event of sickness or accident.
• Life assurance and superannuation - payable on death, permanent disablement and/or at a specified age.
• Partnership insurance - life assurance owned by one partner on the life of another. It may enable the survivor to buy the deceased’s share of the business without having to sell or close the business.
• Key person insurance - life assurance providing a lump sum upon the death or total disablement of a key employee. The money provides financial support until a replacement skilled employee is found and trained, which may take many months.

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More information

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About insurance
Arranging business insurance

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