Making a mistake is human, we all agree. But it still makes a difference whether you spill wine all over your friends' couch, or if you give the wrong advice to your client. In the latter case, you may well have a claim on your hands that will cost you a lot of money, time and negative publicity. And in the worst case; where your business won't recover. Read here the 7 reasons why every business needs legal expenses insurance.
You cannot use your private legal expenses insurance for business purposes. Not even if you are self-employed. So the proverbial "an accident is in a small corner" can turn out to be very expensive if you had relied on it. Did you know that the hourly rate of a lawyer is between €100.00 and €300.00?
Legal expenses insurance for businesses protects your business if you find yourself in a conflict situation. You get legal assistance if someone accuses your company of something. Think of a complaint from a customer about the work you have delivered or an employee complaining about the contract you have with him or her.
Of course, the other way around is also possible: Suppose the raw materials you bought are not delivered on time, or do not meet the promised quality. If you can't work it out with your supplier, you can get legal assistance with legal expenses insurance. And did you think you can do nothing against the municipality that won't grant you a permit? With business legal expenses insurance, suddenly you are no longer alone. You can claim both direct and indirect costs.
Legal expenses insurance also works preventively. You get advice on how to protect your business so you have less chance of getting involved in a conflict. For example, are your General Terms and Conditions in order? And do all your documents comply with the law?
Do you ever have to deal with "defaulters" customers who don't pay, or pay far too late? You can expand your legal assistance insurance with debt collection insurance. You will then get help to get customers to pay their outstanding bills.
An extensive fleet of vehicles is often a reason to take out a motor vehicle supplement as well. Anything motorized within your company is therefore legally insured. Tractors, machinery and forklifts included.
Aren't those American conditions? Do you have to want to seal everything up and make it tight? These are dilemmas that we face more and more. And yes, unfortunately, the claim culture as we know it from America is also becoming more common in the Netherlands. This is partly because we are increasingly educated. We are more aware of the possibility of challenging something. In addition, the Internet and social media play a big role. We know how to find each other, are quick to share our frustrations and are becoming increasingly claim-conscious. This is good, but at the same time it poses a great risk to your company. So weigh up whether you want to run that risk or whether you have enough energy, time and resources to survive a legal dispute.
Want to know more about business legal expenses insurance? Or would you like to know which other business insurance policies are applicable for your company? Check it out directly on Alpina.nl Because Alpina specializes in business insurance. We are fast, professional and inexpensive. For example, you can take out legal expenses insurance with us for as little as €20.00 per month. So don't take unnecessary risks but protect your business!
Questions? Contact us if you want to know more.
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