Security Business Insurance

By its very nature, the security sector is a risk-intense industry. Employees often face challenging situations and physical threats, while organisations are exposed to numerous risks that can impact their financial health and reputation. Security company insurance protects businesses from the risks and liabilities inherent in providing security services, making it an essential consideration for any security business.

What is security business insurance?

Policies are specifically designed to address the needs of security companies and their employees. As such, they focus on risks unique to the industry while also covering more general business concerns. From property damage and legal liabilities to employee injuries and vehicle cover, security insurance protects businesses in myriad ways, ensuring security firms can continue operating despite unforeseen challenges.

Who benefits from security insurance?

Security insurance is available for various individuals and organisations in the security sector and benefits all who work in the industry.

Security guards – companies that provide on-site security for clients need insurance to protect against legal claims, injuries, time off work and property damage.
Private contractors – individuals who offer protection services on a contract basis need extensive coverage to mitigate the risks inherent in the work.
Bodyguards – security agents and organisations safeguarding well-known or high-profile individuals also benefit from insurance.
Event security—whether it is music concerts, festivals, or political conferences, event security poses unique risks and often involves crowd control duties, adding to the risk.
Door security – often utilised outside clubs, bars, restaurants and shops, door security guards regularly face threatening behaviour and require appropriate insurance.
Security equipment providers – specialising in security cameras, alarms and sensors, these businesses need cover to protect against equipment failure, legal claims and property damage.

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Benefits of security business insurance

Security insurance benefits businesses in the following ways:

Financial protection – insurance protects against monetary losses due to incidents, accidents, damages, injuries and legal cases.
Compliance – many security contracts will require the service provider to have insurance.
Peace of mind – having a comprehensive insurance policy in place takes the pressure off those responsible for managing a business, enabling you to focus on the day-to-day operations.
Reputational protection – insurance enhances your brand’s reputation by enabling you to respond to incidents professionally and efficiently.
Minimal downtime – incidents can impact a business’s ability to continue providing services. Insurance guarantees you can continue operating by providing the funds required to do so.

Use cases for security company insurance

There is an almost endless array of use cases for security business insurance. Some of the most common include:

On-duty injuries – insurance would cover medical costs and compensate the guard in question for lost wages, but only if the employer is negligent.
Damaged equipment – property insurance would pay for replacing or repairing damaged cameras or other protective equipment.
Legal claims against employees – insurance would cover the legal fees associated with legal cases resulting from a bodyguard carrying out their duties.
Vehicle incidents – insurance may cover repair for on-patrol vehicles or liabilities for other vehicles damaged in an accident.

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Types of insurance

Security business insurance is often organised into distinct subcategories so that companies and individuals can select the aspects that are relevant to them.

Equipment insurance – protects surveillance cameras, sensors, alarms and other security equipment in the event of theft or damage.
Employers’ liability – protects companies against claims made by employees for work-related incidents or injuries.
Vehicle insurance – protects the business fleet and covers repairs and replacement should it suffer damage or be stolen.
Public liability – protects a business against legal cases relating to its operations. These typically concern personal injury or third party property damage.

Do I need security insurance?

All security businesses should consider insurance; in almost all cases, it makes financial sense to protect your organisation. The security sector is relatively unique in that employees engage directly with risks as part of everyday operations, making insurance essential. Failure to take out appropriate cover can be disastrous for an organisation’s future.

How much does security insurance cost?

The cost of security company insurance will vary depending on several factors, such as the size of the organisation, the type of work carried out, the level of risk involved and annual turnover. For an accurate quote, we recommend contacting our experienced team of insurance experts.