Get on that old insurance train
Q: I have just started a personal training business. It is a mobile business with few real assets that could be lost or damaged, so I would appreciate your opinion on what insurance I might need. Do I even need insurance? Greg – Shenton Park
A: You will absolutely need insurance! At the very least, you should get public liability insurance; otherwise what happens if a client is injured and decides to sue? Liability up to $20 million is commonplace. You will likely find that many venues won’t let you use their facilities without insurance to that amount. It simply isn’t worth the risk not to have it. I am assuming you are operating as a sole trader, meaning you are personally liable for any costs associated with your business, so a lawsuit could cost you everything you own, not just your fitness equipment. I would also strongly recommend you consider the cost of replacing all your equipment before you disregard property insurance. You say it is a mobile business. Can you afford to replace your vehicle immediately if damaged? Could you afford to replace any lost or damaged fitness equipment? Or can you do without it until you can replace it? If you answered no to any of these, then talk to an expert about a business property policy. Finally, but probably most importantly, consider income protection insurance to limit the impact of an injury or illness that prevents you from operating your business effectively.