One of the classic reasons for TV advertising is that it gives consumers the notion of quality and credibility – if the product is on TV then there must be some inherent value given the company’s (supposedly) massive spend on TV advertising. When it comes to your business, insurance can have a similar affect: providing a signal to your customers that your products or services must be credible/of decent quality.

Consider a structural engineer. Yes, you would want to make sure that they have had plenty of experience and that their designs have stood the test of time but wouldn’t you also like the comfort of knowing that if something does go wrong you can get your damages paid more easily? Would you consider a different engineer if you found out that your first choice didn’t have professional indemnity (covering liability for any faulty design)?

Indeed, many government and business organisations will require you to have some minimum form of insurance before engaging your business or allowing you to trade. For example, body corporates have minimum levels of public liability and property whereas doctors require medical indemnity insurance to be able to practice.

Or, you have a business development manager who is bidding for a major government contract and you are a front runner. They suffer an accident outside working hours windsurfing and are physically unable to attend negotiations with the government agency. They have all that knowledge stored in their head and you know that it will be almost impossible to get up to speed in time for negotiations. You now need to recruit a temporary manager and you will be unable to transact business until they are trained up. Your competitor’s also suffers the same fate but they are able to get back on their feet more quickly than you because they had Key Man Insurance…

Of course, these are just a few examples and they don’t consider your businesses needs or condition but it does help in thinking about insurance as an asset rather than a liability. Using your insurance to demonstrate your credentials can only help put your customer’s mind at ease whilst protecting your assets and ultimately, profit. Making your customers aware that your business is insured is just another plus that can be compared against your competitors.