Steinberg (ots) – Small and medium-sized businesses form the backbone of our economy. Around 60 percent of all jobs and even 82 percent of training positions are in mid-sized companies. It is even more important that they are protected by insurance. Because if damage occurs, existence is quickly threatened.
“Every day I see entrepreneurs who have not taken care of the basic insurance: one power outage is enough and the store goes bankrupt,” says Johannes Neder. He has been advising midsize businesses on financial and insurance issues for more than 20 years and knows what types of insurance are a must. In this article, he reveals three types of insurance that every midsize business should have.
Insurance as protection for companies
Insurance products are often at the end of a company’s security chain. The insurance solution is the last vehicle that pays for damages that an entrepreneur cannot control himself. Therefore, contingency plans that take effect in the event of damage are important. If a major fire breaks out, for example, provisions must be made for employees and customers must be kept in line despite the delivery delay. Many companies go bankrupt here and are often insolvent 24 months later. The rest, which the company cannot pay for itself, must be transferred to the insured community. Three areas play an important role here:
1. Property insurance
This insurance covers the values in the building: This includes machines and supplies, but also goods. Therefore, property insurance ensures that your own assets are covered. Here, companies must resort to professional advice so as not to have to give up services due to ignorance in the event of damage. In the field of property insurance, it is the classic personal injury coverage.
2. Special criminal legal protection
This insurance is also extremely important for companies. Many are familiar with legal protection insurance, which covers certain legal cases. However, this is not absolutely necessary, because here the employer decides whether he would like to hire a lawyer in the event of a traffic rule violation. The situation is different with criminal law matters, such as sales tax allegations. For these cases, special criminal legal protection is required. The difference is that as a defendant it is no longer in your hands to terminate the process. The prosecutor only decides this.
This can be very expensive because criminal lawyers freely negotiate their fees. If multiple managing directors and perhaps other accounting department employees are being charged, each person should also have their own attorney available. The hourly rates of such a lawyer are usually between 300 and 600 euros per hour. Therefore, customs procedures can quickly result in costs of 100,000 euros and more. The continued payment of wages in the event of preventive detention is also covered by special criminal legal protection.
3. Protection against damage caused by business interruption due to cyber attacks
This area is becoming more and more important. Anyone who uses a computer or smartphone absolutely needs cyber damage coverage. Because the danger is constantly increasing. Current claims show that it is becoming increasingly problematic. The problems are varied and can even lead to a deadlock.
About Dr. Juan Neder:
dr Johannes Neder is a financial advisor and founder of Dr. Neder Finanz- & Versicherungsmakler GmbH & Co. KG in Steinberg. He is a trusted expert in financial planning, business consulting, and retirement planning. Since 2001, together with his team, which works independently of banks and insurance companies, he deals with companies in the Upper Franconia region and is increasingly active on a national level. More information at: http://www.neder24.de (https://neder24.de/)
dr Neder Finanz- & Versicherungsmakler GmbH & Co. KG Dr. Johannes Neder E-mail: [email protected] Website: https://neder24.de
Press contact: Ruben Schäfer Email: [email protected]
Original content by: Dr. Neder Finanz- & Versicherungsmakler GmbH & Co. KG, broadcast by news aktuell
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