Compendium News

Category: ‘Insurance News’
Buy and Sell Agreements: What Are They and How Do They Work?

If you’ve built up your business with a partner, you’ll know how much you both contribute to the successful running of your company. You’ll also know that losing your partner would have colossal consequences and cause huge problems. It’s natural to want to avoid the thought of your partner falling sick or being hurt, but it’s always wise to prepare for the unexpected – buy and sell agreements will give you one less thing to worry about in the case of a tragedy.
Buy and sell agreements protect you from the financial impact of the loss of a partner. If your partner becomes seriously ill or dies, a buy and sell agreement will promptly provide you with a lump sum of money. This will mean that you can buy their share of their business, and ensure fair compensation to your partner’s family.
Take out a buy and sell agreement with your partner to take the fear out of the future. This legally binding agreement will mean that there is no confusion if the worst happens, providing clarity in a time of distress. It will ensure that your business is able to continue, rather than being put on hold and losing money, or closing permanently. You and your business partner can customise your policy to suit your needs – our experienced brokers will help you decide what cover you need and get the best solution.
A buy and sell agreement will give you immediate funds, so you can buy your partner’s share of the company. With the agreement, you won’t have to go to the bank for an expensive loan, or depend on unwilling investors or family members. A buy and sell assurance policy will help take the pain out of running your business during a crisis, and will provide for your partner’s family too.
Both you and your partner should take out a buy and sell agreement for each other, so you are both protected. This reciprocation will echo the running of your business; creating a fair and equitable solution for you both. You can set the terms for your policy, including retirement, disability, death, or change of ownership shares – one of our brokers will be able to talk you through the possibilities, and make sure you’re absolutely happy.
You can even combine your buy and sell agreement with another policy, such as Key Person Insurance (find out more, or extend your base policies with a buy and sell agreement. Speak to one of our advisors to discover more about your insurance options.
It’s time to future-proof your business. Get peace of mind now – call our expert brokers at 087 724 9390

Does your business need accidental damage cover?

Running your own business means that no day is ever the same – it’s never boring, but it’s always hard work. You know that you can never predict what’s going to happen, however hard you try. But the unexpected doesn’t have to be an extra stress: you can take take out accidental damage insurance to cover your costs, and give you one less thing to worry about.
Accidental damage cover is a special top-up that can be added to your ordinary policy, ensuring you’re covered for any eventuality. It covers you for unforeseen costs. Depending on the policies you have in place already, accidental damage will provide an extra buffer for any claims you might need to make.
Create a buffer against unexpected damages and costs Accidental damage is especially important to take out if you have several employees: the more people you have working for you, the greater the chance that an accident may occur. You can’t plan for every eventuality, especially when you have more than one employee. If you do employ a workforce, you might want to consider Employer’s Liability Insurance, which will protect you against lawsuits if one of your staff is injured in the workplace.
Your accidental damage policy will cover unintentional breakage or injury to plants, machinery, fixtures, fittings, and stock on your premises: as long as it’s not already covered by another of your insurance policies. For example, if a shelving fixture suddenly breaks, destroying your stock, you would be able to claim for the cost of the fixture and your stock. An accidental damage policy provides a valuable safety-net so those notbargained for bills don’t place a strain on your profits, or eat into your capital.
Call one of our experienced brokers on 087 724 9390 to discuss accidental damage cover and other insurance options, and they’ll share expert advice on the best policies for you.
Be prepared for the unexpected – speak to one of our brokers today.

You keep your most valued possessions in your home, so it’s vital you protect them with home contents cover. If you already have home insurance, you might think your belongings are already covered, but actually this isn’t the case. Read on to find out why it’s essential to have both contents and building insurance.
Home insurance, also known as home-owners insurance or building insurance, covers the structure of your building. As a home-owner, you know the value of the roof over your head, but it’s important to remember that home insurance only covers the bricks-and-mortar elements of your building. This means if your house is damaged by flood, fire, accidental impact, etc, you can claim for the rebuilding costs and any essential fixtures.
Home insurance also covers any outbuildings, security systems, pools, gates and gate motors, patios, walls, driveways, aerials, and many other items. (Ask your broker for full coverage details.) You can claim for the replacement, rebuilding, or repair costs for all the buildings. Make sure when calculating the sum insured that you measure it according to the rebuilding costs rather than the market value, and also factor in demolition costs, professional fees and public authority requirements.
So, if you’re already in possession of home insurance, you might think you’re sorted. However, home insurance actually only covers the building. You therefore need to combine your insurance with home contents insurance, and that way your possessions will be covered too.
Household contents insurance protects your most valuable possessions. We know how sentimental the contents of your home can be, which is why we offer such a detailed and extensive home contents cover (also known as contents insurance cover).
Household contents insurance covers a wide range of items from the contents of your tool shed, garage, maid’s quarters, and expensive jewellery.
As a valued client, your household contents insurance will protect you from the following:
Weather conditions such as wind, rain, lightening, storms, snow, water damage, earthquakes and hail Fires Explosions Burst, leaking, or overflowing pipes and geysers Theft and attempted theft Malicious damage carried out by someone other than you Impact from vehicles, falling trees and aircrafts Also included in your household insurance sum is cover for accidental death, medical and veterinary expenses, trauma and veterinary counselling, and much more.
If you have any more questions or need help with your insurance call us today for a quote: 031 242 6800.

Small Business Insurance: Where To Begin?

The world is an unpredictable place. This is why we must take extra steps to insure our lives and personal possessions against loss. The same precaution should be taken when venturing into the business world. This is because starting up a business is an exciting, yet scary time, and sadly as much as we try to avoid disasters, they sometimes find their way to us. Here’s everything you need to know about taking up small business insurance.
Know Your Needs Before you even begin to look at potential insurance companies; be sure to first take a look at what it is that you really need from your small business insurance. The most important factor is the nature of your business. Different sectors each come with their own set of assets, risks and responsibilities.

A great example is a courier company. Since your drivers make up your staff component you may consider offering them medical aid or life/death or disability cover as part of their salary package and deductions. You would also need to take into account that you are transporting goods, so your vehicles would need to be insured against accidents and theft. Then there is the fact that you’re transporting goods that belong to other individuals and companies, so you would want to insure those goods against damage or theft in transit.
Get Background Information Once you have an idea of what your possible insurance needs are, you can then start looking deeper into these. Besides the obvious insurance options such as life and vehicle insurance, there are a few other insurance options that are relevant to small businesses that most people forget.
Public Liability There’s public liability insurance which protects you and your employees in the event that you’re found liable for third party property damage or bodily injury caused during the course of business.
Employer’s Liability Then there’s employers’ liability insurance which provides a pay-out in the event that one of your own staff is hurt or incapacitated while on the job.
Money Loss There’s also money loss insurance which covers you against losing money through theft, dishonesty or physical destruction.
These are just a few insurance options that many business owners don’t know about. This is why it’s vital to get thorough information regarding all the possible insurance covers you can have for your business. The more protection you have, the better!

If you already have personal insurance you should know that when it comes to any form of insurance, doing the groundwork with research is key to making a wise informed decision.
Don’t just settle for the first company you find. Always speak to multiple companies and see what they have to offer. While some may offer a number of services, this might be at a higher price, whereas other companies could tailor-make packages to suit your needs and your budget.
Research means that you will find the company that suits your needs at a price that you can afford.
Finally, Disclose Everything! It is extremely important to advise your insurer about everything that should be covered. Your honesty will work in your favour as this avoids claims being turned down because details were not disclosed. The same goes for new developments. Your business changes on a daily basis and with these changes come new needs and requirements.
It may be that you’ve closed a particular section of the business so don’t need to insure those assets, however you’ve opened a new branch and need to get that staff component on life insurance policies.
Whatever it is, be sure to inform your insurer of new developments immediately so that your policies can be updated. Let Compendium Insurance Brokers help protect what's important to you with small business insurance. Contact one of brokers today on 087 724 9390 for an obligation-free quote.