All businesses rely on the reputation of their products and services for success, with many companies investing a lot of time and effort creating (and protecting) a brand to ensure customers continue to relate to them positively.
No matter how big or small your organisation, a brand can be an essential part of not only building your reputation, but also growing your business. What people say about you counts, especially if your market is niche. Your customers talk about you whether you like it or not and although you can’t control what is said – especially with the proliferation of social media sites on the Internet – you can influence people with the quality of your products, services and your high levels of customer service that help reinforce positive word-of-mouth.
But, what happens if you are subject to an insurance claim that results from a business issue – one that could damage your brand? For example, a consultancy producing a report for a customer with contentious data that could affect their business, or a restaurant being blamed for a clients illness.
Your customers problem soon becomes your problem if they prove negligence and the overall fall-out could soon turn out to be much bigger than the initial short-term impact to your business.
Protecting Your Business
Although many companies see commercial insurance as a necessary evil – a cost to the business – they really appreciate its value when such an issue arises, with a quality insurance team coming on board to defend the claim and effectively protect the business.
It’s worth bearing in mind that choosing a policy on cost alone could have a huge impact on your business if you have the possibility of running into issues like this (and which business doesn’t?). Staff members would need to spend time on the claim rather than focusing on their day-to-day duties and this alone will stretch your resources and put your business under stress.
Then, if you are proven to be at fault, you could suffer ongoing damage as customers and press talk negatively about your brand.
Protecting Your Reputation
A quality insurer works with your business to protect against the claim and ultimately your reputation. The questions that get asked, the processes that are followed and the team behind ‘fighting’ the claim could really make the difference to your business in the long run when it comes to your brand.
If your business reputation matters, our advice is not to gamble on your policy in the first place – it’s all about managing risk practically. Secondly, business advice from friends or Google when you are facing a claim is another dangerous gamble that could cost you even more.
Our advice. Simply make sure you work with a good insurance team to begin with with the right policy to suit your business and the risks it faces.
Our experts here at Finch will be delighted to discuss your insurance requirements if you have any questions, so why not get in touch?