Guide to risk management & insurance for startups

Why is Insurance for Startups Important?

Ultimately insurance comes down to protecting your company, your employees, your customers and your growth. It can be difficult to know what insurance your startup needs. Some policies are required by law or by your customers while others are required by investors. Some policies you may have never even heard of!

Insurance should be seen as more of an investment than a cost. A good policy lets you free up your time, energy and money to focus on growing your business. But the lives of founders and startups can be chaotic. Sometimes insurance becomes more of a “check-the-box” activity.

When used properly, insurance policies provide value to companies that goes well beyond what a “set it and forget it” approach provides.

Aside from meeting certain legal and compliance requirements, here are a couple important benefits startups enjoy when they have the right insurance coverage:

  1. Attract Investors – investors do everything in their power to eliminate risk from the equation. One of the ways they do this is by requiring companies to get certain types of insurance coverage.

  2. Keep Customers Happy – many of your customers will demand it proof of insurance, particularly if you’re in the B2B space.

  3. Hire Top Talent – as you grow, so does your risk exposure. Having right coverage in place will give you peace of mind and time to focus on scaling your business.

  4. Scale – as you grow so does your risk exposure. Having right coverage in place will give you peace of mind and time to focus on scaling your business.

  5. Disrupt– when you’re taking on entire industries and shaking up the status quo, something’s bound to go wrong. Someone’s probably going to sue you at some point. Whether the danger is coming from competitors or regulators, you’ll have a black hole of time-wasting paperwork and legal fees on your plate if you don’t have the right insurance in place. 

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Group Health Insurance 

What does it cover?

As the name suggests, a group health insurance is a type of health insurance policy dedicated to a group of people, working under one common umbrella. Most commonly bought for employees of both young startups and large organizations, a group health insurance plan does not only benefit employees but also in certain cases their family members. 

Why do you need it?

  • Boost Employee Retention - People value jobs that give them a sense of security. A group health insurance will not only give your employees and their families enough financial security, but an overall sense of satisfaction that their employer actually cares about them.

  • Strengthen Employee Motivation - Happy employees make happy workspaces and evidently successful companies! It’s no surprise that the safer and satisfied employees feel, the happier and more motivated they’re likely to be! 

  • Protect them from Severe Health Conditions - More than 61% of illness hospitalization and death in India are due to lifestyle-related diseases. Safeguard your employees from the same, amongst other diseases; the earlier these issues are diagnosed, the earlier they can be treated and resolved. 

  • Enhance their Mental Wellbeing - Many employees are often affected by stress due to either financial pressure or other personal issues which can lead to lower productively levels at work too. Our group health insurance plan will not only safeguard their savings but, also enhance their overall mental wellbeing with the right support. 

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Group Personal Accidental Insurance

What does it cover?

As the name suggests, a group health insurance is a type of health insurance policy dedicated to a group of people, working under one common umbrella. Most commonly bought for employees of both young startups and large organizations, a group health insurance plan does not only benefit employees but also in certain cases their family members. 

Why do you need it?

  • Boost Employee Retention - People value jobs that give them a sense of security. A group health insurance will not only give your employees and their families enough financial security, but an overall sense of satisfaction that their employer actually cares about them.

  • Strengthen Employee Motivation - Happy employees make happy workspaces and evidently successful companies! It’s no surprise that the safer and satisfied employees feel, the happier and more motivated they’re likely to be! 

  • Protect them from Severe Health Conditions - More than 61% of illness hospitalization and death in India are due to lifestyle-related diseases. Safeguard your employees from the same, amongst other diseases; the earlier these issues are diagnosed, the earlier they can be treated and resolved. 

  • Enhance their Mental Wellbeing - Many employees are often affected by stress due to either financial pressure or other personal issues which can lead to lower productively levels at work too. Our group health insurance plan will not only safeguard their savings but, also enhance their overall mental wellbeing with the right support. 

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Errors and Omissions Liability Insurance

What does it cover?
Aka “Professional Liability” or “malpractice” insurance. This policy covers the company if a third party claims they lost money because of an act, error, or omission that occurred while the company was providing its professional services.

Why you need it?
Complex litigation is expensive. This pays legal fees and judgments or settlements from a lawsuit for an alleged failure in the provision of professional services. Everybody makes mistakes. This policy helps ensure that a small mistake doesn’t turn into an existential crisis