What insurance for a startup?

What insurance for a startup?


You are launching or have created your start-up and you are wondering what insurance is necessary for your activity? What are your specific needs as a start-up? When do you become responsible? We explain everything to you and give you our ranking of the best insurance for startups.

Summary

    How does professional civil insurance work for a startup?
    What risks are covered by professional startup insurance?
    What is the price of start-up insurance?
    Start-up, what are the other essential insurances?

How does professional civil insurance work for a startup?

Professional liability insurance (RC Pro) is only compulsory for startups carrying out a so-called regulated activity. This is for example the case of accountants, insurance brokers, travel agencies, etc.

For all other startups, professional liability insurance is optional but highly recommended. RCP startup protects you for all damage caused to a third party during your professional activity. This also concerns material, immaterial and bodily damage. This damage can be caused by you, your employees, your equipment or your subcontractors.

For unregulated startups, RC Pro may be mandatory in practice because it is required by the coworking space in which you work, by your landlord, or by your clients.

The professional civil insurance contract includes several additional guarantees that will be in the basic base or as an option: legal protection, defense and recourse coverage and operating civil liability.
What risks are covered by professional startup insurance?

It should be remembered that the professional activity of a startup exposes it to many risks. Indeed, startups have the particularity of evolving in often competitive environments and of making decisions and carrying out actions very quickly. This will have the consequence of creating more possibilities for taking responsibility than a traditional company might experience.

Here are some examples of claims covered by Liability Pro insurance:

    Your company inadvertently discloses confidential information about a client and the latter seeks damages for economic damage;
    One of your employees on a bicycle runs over a passer-by during his commute to work;
    You accidentally email a computer virus to a customer. His information system is attacked and damaged by the virus.

For all this damage, it is the start-up that will have to compensate the victims if it is not covered.

Make sure that the contract you take out includes Third Party Liability Insurance in order to be covered for all damage caused in the course of the life of the business.
What is the price of start-up insurance?

In addition to professional liability insurance, start-ups that work in offices will need to take out professional multi-risk insurance.
Professional Liability
Remark
It is recommended to take out a guarantee limit at least equal to turnover. A broker such as Coover will allow you to take out a contract specific to your activity at the best price.
Rate
From € 199 / year with the broker Coover
Professional multi-risk
Remark
Insurance that covers your offices in the event of a disaster as well as any related operating losses. If you work from home, you can ask your insurer for an extended warranty for professional activity.
Rate
From 250 € / year with the broker Coover
Start-Up Insurance Price

The prices presented correspond to the basic offer for a startup. Here are the elements that may impact the price of insurance:

    the activity of the start-up, in particular if it exercises a regulated profession;
    turnover (realized or forecast);
    the location of its head office;
    the deductibles and options taken out.

Start-up, what are the other essential insurances?
Mutual health
Status
Mandatory if you have employees.
advice
Depending on your collective agreement, you may be affected by a specific contract (example Syntec Agreement)
RCMS
Status
Optional
advice
RCMS insurance (civil liability of the corporate officer) protects the manager's assets in the event of fault committed in the performance of his duties
Car Insurance
Status
Mandatory if you or one of your employees uses a vehicle during the performance of their duties
advice
If the vehicle is already personally insured, professional use can be added to the contract
Foresight
Status
Faculty