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5 Essential Insurance Policies for Start-Up Companies


Start-ups play a fundamental role in the growth of an economy and at Towergate we enjoy working closely with new firms from the outset helping them to take their first steps in the corporate world.

Eager to assist new companies to manage risk, we have defined what we consider to be some of the essential insurance cover new start-ups should consider.

Employers Liability

Employers Liability insurance is a legal requirement for the vast majority of businesses.

It provides cover for your business should an employee suffer illness or injury during their course of work or an ex-employee have suffered illness or injury whilst they were working for you.

If you’re employing any members of staff and/or volunteers taking no wage, you are legally required to put this cover in place.

Public Liability

Public Liability insurance provides cover for physical damage or injury claims made against your business, by any member of the public or third-party company.

Should you cause physical damage to third party property or indeed injury to a third party, your business will be liable to reimburse that party for their loss.

Material Damage

Material Damage cover provides protection against physical loss to any assets owned by your business or stored at your business as part of a third party contractual obligation. These assets may include buildings, contents, stock and machinery.

Losses can occur through such events as fire, flood, burglary or simply accidental damage.

Professional Indemnity

Whatever your level of experience in your field, there is always a chance that you or a colleague could make a mistake.

Professional Indemnity insurance can provide cover should your business cause a financial loss to a client following your professional advice, services and/or design and protects you against risks such as: –

  • Negligence-Failing in your ‘duty of care’ to your client, such as giving incorrect advice or making a mistake in your work.
  • Intellectual Property Unintentional infringement of copyright, trademarks or broadcasting rights. This includes any limitation or passing another’s products/services off as your own.
  • Loss of Professional Documents/Data Includes damaged, missing or destroyed data belonging to a client or business while in your possession.
  • Dishonesty A director, employee or self-employed freelancer contracted to you is involved in a theft from the client.
  • Defamation Using or producing any material about other companies that may cause offence and that risks going beyond the intended internal audience, such as using case studies during an internal training session.

For companies such as Architects, Surveyors, Accountants and Management/IT Consultants, this should be an essential consideration.

Directors and Officer

Directors and Officers liability insurance is insurance cover that offers financial protection to directors and officers of a company.

It is a common myth that the personal assets of Directors of a Limited Company are protected through the ‘Limited’ status of the business.

The fact is Litigation can spring from anywhere: – employees, shareholders, creditors, regulators, customers, competitors, the Government, other directors and suppliers or anyone else who feels that they have suffered a loss arising from you as a Director wrongly acting in your position, can potentially sue you.

Directors and Officers Liability insurance offers financial protection to directors and officers of a company by covering your personal liability for legal costs and awards in defending civil, criminal, regulatory claim or investigation.

How Towergate can help …..

Whether you are a start-up business and want some advice with regards to insurance or are an established firm wanting to revise your insurance portfolio, as one of the largest insurance brokers in the UK, we understand about the business you’re in.

At Towergate, we take time to get to know your unique business and its specific requirements. No matter the size of your organisation, we always adopt the same thorough process to safeguard your business and the risks it may face. We will sit down and discuss your insurance requirements with whoever we need to whether that’s the managing director, owner, finance director, company secretary, health and safety executive, in-house risk manager or a combination of senior management. We’ll advise you about any pitfalls relating to insurance in your sector and put forward innovative, but cost effective, options and solutions to give you peace of mind.

Given the significance of these particular risks and to consider could you be doing more to protect yourself and your business contact Justin Newton at [email protected]

Towergate is a trading name of Towergate Underwriting Group Limited
Registered in England No.4043759 . Authorised and regulated by the Financial Conduct Authority


At Towergate we take our time to understand your unique business and its specific requirements. We deal face-to-face with large corporations, organisations and SME’s with a local, regional, national and international footprint; businesses with complex needs requiring insurance programmes that are rarely a single product.

No matter what the size of your organisation, we will always adopt the same process to safeguard your business. We will sit down and discuss your company’s requirements with whoever we need to; the MD, the owner, the Finance Director; Health & Safety advisors; the company secretary, in-house Risk Manager or a combination of Senior Directors.

We truly believe in providing the personal touch, providing both local and national service. That’s why we have over 80 locations across the UK. Our proposition to you is underpinned by strong relationships with leading insurance partners, who in turn appreciate that we place our clients, at the centre of everything we do.

Having formed a historical presence in Wales, our Welsh offices continue to trade in Cardiff, Swansea, Barry, Bridgend, Tonypandy, Bargoed, Haverfordwest and Ammanford and form part of the Towergate Group. Formerly trading as Antur Insurance Services, CCV Cardiff, Morgan Brokers, Motaquote and Underwood Insurance Brokers our teams have a local knowledge and understanding of Welsh business practises.

As part of the Towergate Group, these business are backed by the one of the largest corporate and SME insurance brokers in the UK, which not only allows access to the general insurance market and Lloyds, but also to a number of bespoke and unique options, which can provide specific benefits for our clients.


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