What insurance should I get for my small business?


There’s nothing more rewarding than getting your new business idea or side hustle off the ground. Unfortunately, the road to entrepreneurial success isn’t always predictable.

Thankfully, there are ways you can prepare for the unexpected. If you’re starting a small business, side hustle or market stall and want to protect your income and assets, here are a few insurance categories to consider:

  • Public Liability Insurance
  • Commercial Motor Insurance
  • Professional Indemnity Insurance
  • Legal obligations.

Get to know each of these categories below!

What is Public Liability Insurance?

Public Liability Insurance covers you and your employees in the event you cause injury or damage to a third party. For example, if your employee gets a twinge in their lower back from lifting too many boxes or a client slips while visiting your premises.

Public Liability Insurance covers the cost of compensation and your defence costs. It can also cover accidents in your home as well. This makes it ideal for home-based businesses like hairdressing, massage therapy and consultancies.

What is Commercial Motor Insurance?

It can be easy to overlook Commercial Motor Insurance if you already have third party or comprehensive insurance for your car. But if your business relies on one or more vehicles, Commercial Motor Insurance might be worth a look.

Whether you’re using a car to visit clients or a truck to carry goods, you should be able to find cover to match. Seek to cover your ute, van, car, and more with Commercial Motor Insurance.

You can typically choose from three different types of coverage for commercial motor vehicles:

  • Comprehensive
  • Legal Liability only
  • Legal Liability, Fire & Theft.

Consider what’s best for you and use the categories above as a guide.

What is Professional Indemnity Insurance?

Professional indemnity insurance is designed to protect your business against claims of negligence or poor advice. A professional indemnity policy can also assist with costs related to legal action taken against you.

Professional indemnity insurance is designed for service professionals like accountants, lawyers, engineers, allied health workers and architects.

Understanding your legal obligations

Some insurance policies in Australia are required by law. For example, if you have employees, workers compensation insurance is a must.

If you have a car or multiple cars for your business, Compulsory Third Party (CTP) Insurance and ACT Motor Accident Injuries (MAI) Insurance — is also not optional.

Laws covering CTP Insurance vary according to your state or territory but in some cases, you’ll need to organise your own CTP direct with an insurer.

Take a look at AAMI’s Business Insurance

If you’re starting a new business or have one already up and running, then don’t get caught short when it comes to Business Insurance. Treat it as an asset that can protect you or your employees when things don’t go according to plan.

As a way to make business that much simpler, we are going the extra mile with AAMI's Back in Business initiative – an optional cover when you insure your property for loss and damage with AAMI Business Insurance. You can now seek coverage for a reduction in business revenue caused by, for example, damage to your property.

Ready to get a quote for a specific type of Business Insurance? Getting a quote online takes just a few minutes. We also have a team of specialist Business Insurance representatives just a phone call away on 13 22 44.

Explore your options with Business Insurance

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Insurance is issued by AAI Limited ABN 48 005 297 807 AFSL 230859 (AAI) trading as AAMI. Read the Product Disclosure Statement before buying this insurance.
This advice has been prepared without taking into account your particular objectives, financial situations or needs, so you should consider whether it is appropriate for you before acting on it.