Small business owners - public liability insurance? [Archive]

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mada

27th April 2016, 01:00

Oscar

27th April 2016, 08:42

Tip #1 - Don't seek business advice on KB.

yokel

27th April 2016, 09:03

Tip #1 - Don't seek business advice on KB.

I'm confused?
So mada should or shouldn't pay any attention to your tip?

Oscar

27th April 2016, 09:04

I'm confused?
So mada should or shouldn't pay any attention to your tip?

Tip #2 - Irony is hard.

oldrider

27th April 2016, 14:38

Another thread takeover - it's always got to be all about you doesn't it Oscar! :tugger:

Banditbandit

27th April 2016, 15:07

I'm confused?

Obvious - but not our problem ...

So mada should or shouldn't pay any attention to your tip?

Mada is free to do what he likes ..

Banditbandit

27th April 2016, 15:10

R650R

27th April 2016, 16:13

I'd have a look at AON.

https://www.aon.co.nz/

No, I don't have a small business or small business insurance, but I have dealt with AON insurance for a number of years and they have been excellent.

Yep, go see a broker.

They will be reluctant to do it just on its own, do you have tools and gear that needs insuring for business use, PI on top of that is usually not much extra.
Check to see if it covers legal costs also. As before you get found liable for something and have to pay out there will be some sort of legal battle first.
Min cover is usually about 1 million, premium is prob about 300 year for that as part of bigger policy. Eg I had heap camera gear plus PI for about 1k plus change a year.
Will you be working on other companies sites. Some bigger places wont let you operate without less than 25 million PL.

Oscar

27th April 2016, 16:59

Oscar

27th April 2016, 16:59

Another thread takeover - it's always got to be all about you doesn't it Oscar! :tugger:

Aren't you a bit old to be menstruating?

oldrider

27th April 2016, 18:04

Aren't you a bit old to be menstruating?

Are you suggesting we could be blood brothers? - I would have to learn to be a wanker like you first! :tugger: It could take years - you are the best! :niceone:

Oscar

27th April 2016, 18:30

Are you suggesting we could be blood brothers? - I would have to learn to be a wanker like you first! :tugger: It could take years - you are the best! :niceone:

So you are admitting to being a pathetic wanker.
No argument here.

oldrider

27th April 2016, 19:28

So you are admitting to being a pathetic wanker.
No argument here.

Lost in translation but the average KB'r would understand your problem! :rolleyes:

Woodman

27th April 2016, 19:30

Pointless drivel....3...2...1...

HenryDorsetCase

27th April 2016, 19:51

Yep, go see a broker.

They will be reluctant to do it just on its own, do you have tools and gear that needs insuring for business use, PI on top of that is usually not much extra.
Check to see if it covers legal costs also. As before you get found liable for something and have to pay out there will be some sort of legal battle first.
Min cover is usually about 1 million, premium is prob about 300 year for that as part of bigger policy. Eg I had heap camera gear plus PI for about 1k plus change a year.
Will you be working on other companies sites. Some bigger places wont let you operate without less than 25 million PL.

what this guy said. bundle that shit with some material damage. be prepared for hard sell. DO NOT USE AMP.

Go see Crombie Lockjaw, maybe Marsh.

Maybe a local outfit. Usually they are better than the big firms (applies to most trades in my experience: lawyers, plumbers, electricians). ask your frenz and fambly for a recommendo.

sidecar bob

27th April 2016, 20:32

I have 2mil public liability with Crombie Lockwood. It costs bugger all for what it covers. Possibly because I'm not a huge liability to the public.

mada

27th April 2016, 22:21

Thanks for the info guys will follow up with the firms mentioned and see what they have to offer.

Operating as a sole trader - maybe one or two staff later in semi-legal field - providing advice for those wanting to become kiwis/residents etc.

Don't envisage screwing things up but would rather be safe than sorry (bankrupted by lawyers fees) if by some rare chance someone felt aggrieved by service provided.

If you ever have friends/fam who need such advice get in touch - will give discounted rates for a bag of chips.

Cheers,

M.

Akzle

28th April 2016, 06:41

providing advice for those wanting to become kiwis/residents etc.

okay, so you now how to enter perosons IN to the system. How do you get them out?

baffa

2nd May 2016, 10:26

You'll be offered a package with public liability, employers liability, statutory liability, errors and omissions, directors and officers, and possibly cyber and professional indemnity depending on your occupation. All useful covers

Sent from my fridge using Tapatalk

husaberg

16th May 2016, 20:28

Starting a small time consulting venture and needing to get public liability insurance. Prob only needing cover up to a couple hundred thousand.

Any other small business owners on here who have it and can recommend good deals/tips with insurance companies or brokers before I jump in?

Cheers,

M.

Talk to your accountant there are ways of setting up the business to avoid liability.
Otherwise avoid this companies insurance, they will be looking to get some money back to balance the books.
http://www.stuff.co.nz/national/9027524/Family-feud-nets-1-8m-for-farmer
Failing that, left field try FMG. the general amount of cover used is about 1 million cover though.
https://www.fmg.co.nz/about-fmg/corporate-information/contact-us/

Brett

26th May 2016, 22:34

Our company has now passed the small mark and in a solid medium sized company at just over 100 people. But we have stuck with the same insurance brokers from the start 3 years ago. We use IC Frith and Marsh for our business risk insurances. They have been good to us, although admittedly given the nature of our operations and consulting, we have some very specialist and hard to procure insurances.

You have talked about Public Liability Insurance, however for a consultancy Professional Indemnity Insurance (or an equivalent) is going to be equally, (if not more) important. If the consultancy that you will be providing is going to have potential for creating contingent liability for you then you will seriously want to look at covering your arse here.

Brett

26th May 2016, 22:43

Talk to your accountant there are ways of setting up the business to avoid liability.
Otherwise avoid this companies insurance, they will be looking to get some money back to balance the books.
http://www.stuff.co.nz/national/9027524/Family-feud-nets-1-8m-for-farmer
Failing that, left field try FMG. the general amount of cover used is about 1 million cover though.
https://www.fmg.co.nz/about-fmg/corporate-information/contact-us/

Disagree with your advice. Yes you can utilise a limited liability company to limit your personal exposure...liability is limited to the extent of shareholding..ie if you chuck $1000 into a pot as start up capital, then save for doing something stupid like trading recklessly as a director, trading while insolvent, giving personal guarantee's etc. the your greatest exposure is $1000. There are some hooks and snaggs...but that is the general gist. You can take it to additional steps of holding assets in trusts, holding interests off register etc. but that will ultimately add to your regulatory and compliance costs every year. However, key reasons why I contest your point:

1) Depending on your clients, you will often get asked what insurances you have in place. Sometimes there will be a contractual requirement for a degree of insurance cover.

2) Brand. When you're selling your time, your selling brand "you". You need to take a professional position in ensuring that you cover your client's down side for your own fuck ups. Giving bad advice and leaving your client in a hole is a great way to ensure that no one ever seeks your services again.

husaberg

27th May 2016, 15:21

Disagree with your advice. Yes you can utilise a limited liability company to limit your personal exposure...liability is limited to the extent of shareholding..ie if you chuck $1000 into a pot as start up capital, then save for doing something stupid like trading recklessly as a director, trading while insolvent, giving personal guarantee's etc. the your greatest exposure is $1000. There are some hooks and snaggs...but that is the general gist. You can take it to additional steps of holding assets in trusts, holding interests off register etc. but that will ultimately add to your regulatory and compliance costs every year. However, key reasons why I contest your point:

1) Depending on your clients, you will often get asked what insurances you have in place. Sometimes there will be a contractual requirement for a degree of insurance cover.

2) Brand. When you're selling your time, your selling brand "you". You need to take a professional position in ensuring that you cover your client's down side for your own fuck ups. Giving bad advice and leaving your client in a hole is a great way to ensure that no one ever seeks your services again.

I agree with your sentiments I must admit I always do cringe when I see "holdings" but I would still seek advice from your accountant.
I am glad you said selling your time and brand you if you had of said selling yourself someone might have thought you were a er.....lawyer:lol:

Oscar

27th May 2016, 16:13

Disagree with your advice. Yes you can utilise a limited liability company to limit your personal exposure...liability is limited to the extent of shareholding..ie if you chuck $1000 into a pot as start up capital, then save for doing something stupid like trading recklessly as a director, trading while insolvent, giving personal guarantee's etc. the your greatest exposure is $1000. There are some hooks and snaggs...but that is the general gist. You can take it to additional steps of holding assets in trusts, holding interests off register etc. but that will ultimately add to your regulatory and compliance costs every year. However, key reasons why I contest your point:

1) Depending on your clients, you will often get asked what insurances you have in place. Sometimes there will be a contractual requirement for a degree of insurance cover.

2) Brand. When you're selling your time, your selling brand "you". You need to take a professional position in ensuring that you cover your client's down side for your own fuck ups. Giving bad advice and leaving your client in a hole is a great way to ensure that no one ever seeks your services again.

Your exposure is somewhat more than your shareholding.

Trading recklessly as a Director: Breach of S.135 of Companies Act. If convicted for reckless trading, you could be fined up to $10,000 and the court could make you liable for the Company debt. If convicted for dishonest reckless trading penalty goes to a maximum of 250k and/or 5 years in jail.

Trading whilst insolvent. Sections 135, 136 and 137. For penalties see above.
Personal Guarantees - Your exposure is your entire estate. Unlimited in other words.

Brett

27th May 2016, 16:45

I agree with your sentiments I must admit I always do cringe when I see "holdings" but I would still seek advice from your accountant.
I am glad you said selling your time and brand you if you had of said selling yourself someone might have thought you were a er.....lawyer:lol:

Haha...if I were selling "myself" I would be one broke ass honky!

Brett

27th May 2016, 16:46

Your exposure is somewhat more than your shareholding.

Trading recklessly as a Director: Breach of S.135 of Companies Act. If convicted for reckless trading, you could be fined up to $10,000 and the court could make you liable for the Company debt. If convicted for dishonest reckless trading penalty goes to a maximum of 250k and/or 5 years in jail.

Trading whilst insolvent. Sections 135, 136 and 137. For penalties see above.
Personal Guarantees - Your exposure is your entire estate. Unlimited in other words.

Correct, that's why I said "save for doing something stupid like..." because in that instance limited liability does not apply.