Insurance advice for exporters
16th February 2014
British made goods are attractive to overseas buyers but exporting can still be a messy business hindered by a great deal of red tape. One of the main issues that businesses need to be aware of is the insurance implication of selling goods and services abroad.
In short there are three areas to consider:
– Cover for the goods, samples, equipment which may be used overseas or if exhibitions are attended. The requirements depend on your terms of trade but cover can easily be arranged on goods to dovetail with existing arrangements. It is considered best practice that you organise cover rather than let the customer or freight company do this on your behalf, as you then have the comfort of knowing that should the worst happen it is within your control.
– Directors and staff also need to be protected whilst abroad. An annual business travel policy can be arranged to cover medical expenses, luggage, cancellation, replacement of staff etc. There are specific policies designed for the business traveller. In certain circumstances travelling to high risk countries poses unseen threats for example you should also consider kidnap and ransom cover for employees.
– Are your liability insurance covers adequate? If you are working abroad special covers will be needed and exports to certain areas such as North America require special consideration. Insurance costs can increase substantially as litigation is extremely costly and court awards much higher.
Horner Blakey is experienced in arranging insurance for companies which export goods and services and can help in making the entire process much easier and more cost effective.