What insurance do I need?
Your business activities will determine the type of insurance you require – for example, your business type (online, home-based etc.), whether you sell products or services, and if you employ people.
For example if you:
- employ staff you will require workers' compensation insurance
- provide professional services, such as a doctor, you may consider professional indemnity insurance
- sell products, you may consider product liability insurance.
As a sole trader, you can’t cover yourself as an ‘employee’ with workers' compensation insurance. This means you’ll need to consider your own personal death, illness and disability insurance.
Directors and officers liability insurance is not compulsory but may be considered by directors. Directors will generally not be held liable for the debt of a WorkCover claim. The company is generally liable.