• Arbitration

    If the amount we're willing to pay out for a claim is less than what you think it's worth, you may want to dispute it. Arbitration is the process of using a third party to settle such issues.

  • APR

    An annual percentage rate (APR) is a way of measuring how much a financial product will cost you each year over the term of a contract. E.g. any interest charged on paying your insurance monthly.

  • B
  • Business Interruption Insurance

    Business interruption covers loss of revenue, and the costs of a temporary relocation, if your business cannot trade due to damage to your equipment or premises.

  • Bona Fide Subcontractors

    Contractors, such as plumbers or electricians hired for a specific job, who are independent, responsible for their own health and safety, set their own hours, work under their own supervision, supply their own tools and materials, have their own liability insurance and are responsible for the work they have undertaken.

  • Business Contents and Stock Insurance

    This policy covers the cost of replacing damaged or stolen items used by your business, such as your stock, office furniture or work computer.

  • Buildings Insurance

    Do you own your business premises – be it a shop, office or hotel? If the building or the fixtures and fittings are damaged by an insured event, like a flood or fire, this policy will cover the repair costs.

  • C
  • Choice of Law

    Choice of law dictates the legal system that will apply to a contract if someone disputes it. We consider all of our policies under English law.

  • Conditions Precedent

    Certain rules that must be agreed to before a contract is carried out.

    For example, there might be a condition on your insurance policy that says before a ground excavation is undertaken, you must carry out a survey. If you do not carry out a survey, and the underground cable is damaged, you would not be able to make a claim.

  • Contingencies

    A chance occurrence or uncertain outcome that is covered by your policy. E.g. fire, flood or theft.

  • Cyber Insurance

    If you're a victim of cybercrime or your website is hacked, this policy covers the cost of recovery. This might include fixing computer system damage, financial loss and data breach expenses.

  • Collateral Warranties

    If someone is under contract to work for you, they may need a collateral warrant to hire someone to work on the same job. For instance, an architect working for a construction site. This warrant holds this third-party to account, making sure they carry out their work in a professional manner. It also entitles this third-party to claim for losses that they wouldn’t otherwise be able to recover.

  • D
  • Data Protection Act

    This law controls how organisations can use personal information in the UK. This data must be kept safe, secure and up to date. Additional protections cover sensitive information, such as someone's ethnic background, political opinions or health.

  • E
  • Excess

    This is what you'll pay towards an insurance claim. It's sometimes called a 'deductible.'

  • Employer's Liability

    This insurance covers you if one of your employees makes a claim against you after being injured or becoming ill due to the work they do for you.

  • F
  • Fixtures and Fittings

    This is anything that you cannot reasonably remove from a property, such as skirting boards and plumbed-in items, like sinks and toilets.

  • G
  • Guest House Insurance

    This is for people who run a business offering accommodation to paying guests. It will cover your business if it is impacted by an insured event, such as a fire, flood or theft.

  • H
  • Hired In Plant Cover

    This covers the cost of replacing damaged or stolen machinery that you've hired, under contract, on a short term basis. This could include cement mixers, diggers, generators or even temporary site huts and caravans.

  • I
  • Index Linking

    If your policy is index-linked and there’s a change in the costs involved to rebuild the property (e.g. if the price of bricks increases), at renewal, your sum insured will automatically increase too. Index Linking also applies to your business contents.

  • Indemnity

    Indemnity means that one party in the contract is responsible for compensating another for the loss, damage and/or injury that they have caused.

  • IR35

    This is the name sometimes given to the tax rules regarding off-payroll working for contractors and consultants that work through an intermediary, such as a personal service company.

  • L
  • Labour-Only Subcontractor

    Very similar to an employee, a labour-only subcontractor works under your direction, uses the tools and materials you supply, and follows your health and safety policies.

  • Legal Expenses
  • Limit of Liability

    This is the maximum amount your insurer will pay out for an insured event included in your policy.

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  • O
  • Optional Cover

    This refers to insurance that's not automatically covered by your existing policy, that you can add for an extra cost.

  • Own Plant Cover

    This covers the theft or damage to plant machinery – things like diggers and generators – that you own as part of your company.

  • P
  • Policy

    The document that tells you what you're covered for, what you aren't covered for, and the conditions of that cover.

  • Product Liability

    This insurance covers your business in case a product that you make or sell injures a member of the public or damages their property.

  • Professional Indemnity

    Covers the cost of legal fees and compensation claims you have to pay if you or an employee gives advice that causes your client to lose money or harms their reputation.

  • Public Liability

    Covers the cost of legal fees and compensation claims you may have to pay if a member of the public is harmed, or their property is damaged, because of your business.

  • Q
  • Qualifying Criteria

    The conditions you have to meet if you want to be covered under a policy.

  • R
  • Reinstatement Basis

    Repairing or replacing damaged property so that it is in the same condition as it was when new, but not better condition (i.e. it hasn't been upgraded).

  • Renewal Premium

    The amount you'll pay if you decide to renew your policy with us.

  • S
  • Specific Conditions

    Rules and practices you must agree to when working, such as not working at a certain height or using heat equipment. If you do not comply with these rules, you will not be able to make a claim.

  • Subrogation

    This right lets us legally pursue the person(s) responsible for your insured loss. So we can recoup all or some of the money we've paid out for your claim.

  • Schedule

    This document confirms which sections of your policy are active and the level of cover or sums insured you have selected.

  • Sum Insured / Sums Insured

    The figure you have asked us to cover you for.

  • T
  • Trace and Access

    If damage is caused by a leak but you aren't sure where it's coming from, this insurance covers the cost of locating the source and fixing any damage caused when locating the source, up to the limit stated in the policy.

  • Theft of Takings

    This type of business insurance covers you for money that is damaged or stolen. Usually, this kind of policy only covers up to a set amount, for instance, £1,000.

  • Territorial Limit

    The geographical area that your policy covers.

  • U
  • Underwriters

    The people who decide whether or not to accept an application for insurance cover.

  • W
  • Waiver

    A waiver is a legally binding part of the policy that removes a real or potential liability for the other party. For example, after a settlement between two parties, one might waive their right to pursue legal action.

  • Working Partner

    A partner in a business who takes an active role in managing it. The opposite of a 'silent partner'.

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