As a business owner you work hard to grow your business and support your family. The more successful you are, the more assets you build outside the business. After all, isn’t that why you are working?
So it makes sense that protecting your personal assets is just as important as building your business. As a smart businessperson it is only logical that you want to keep the two worlds, your personal assets and your business interests, separate. That last thing you want is a bad decision at work impacting on your personal or family situation.
Unfortunately it can happen.
If a business problem goes to court you can become personally liable in certain situations. It might be a case involving employee discrimination, unfair dismissal or even Internet liability, so it's important to know that you have protection against any personal liability for legal expenses or fines issued by a court or tribunal.
That’s where Management Liability insurance comes in. It protects your personal, as well as your business assets.
Lets take a quick look into what you may be exposed to and which claims might be brought against you.
- Shareholders - including statutory derivative actions
- Employees - can claim unfair dismissal, workplace harassment or failure to promote or even employ a certain employee.
- Statutory bodies - often followed by a work incident, resulting in investigations, actions can be brought against you by Workcover the Environment Protection Authority and other government bodies.
- Competitors - can always bring a case up against you concerning anti-competitive business behaviour.
Most business owners, managers or even outside board members don’t realise that these risks are real. Talk to an insurance expert at Insurance House to find out how little it costs to protect your personal exposure.