There aren’t many insurance covers specifically focused on print. Instead, it’s best to scan the marketplace and review all your options to find a good spread of providers that offer covers geared towards your business.
There are three main insurance covers to consider: legal liabilities in the event of your business causing damage or harm to a third party or their property; protection against loss or damage caused to your business’ property or trade by adverse events; and protection for you and your employees against the consequence of serious illness, injury or death.
In terms of finance, banks often view print as a relatively high-risk sector, says Marcus Clifford, managing director at BPIF McInnes Corporate.
Banks tend to offer asset finance, where the money being lent is tied to a specific asset ie property, plant or machinery. There are financial institutions still offering overdraft or cash-flow lending but other options are relatively scarce.
“Institutions can’t compare what’s happening in print to food or other market sectors. A bank aims to make money and there are sectors where the returns are higher,” he says. On the plus side, the print industry offers stability.
For small to medium-sized companies that do not have assets to offer as security against a loan, many are turning
to Small Firms Loan Guarantee (SFLG), says Andrew Bullard, sales director at State Securities. SFLG is one of
the funding options offered by State Securities and is a joint venture between the department for Business, Enterprise and Regulatory Reform (BERR) and participating lenders.
The SFLG provides lenders with a government guarantee covering 75% of the loan amount, for which the borrower pays a 2% premium on the outstanding balance of the loan, payable to the BERR.
There are lots of financial institutions that want to get involved in management deals. Clifford advises buyers to review all options and to get a good spread of providers
WHAT'S NEW IN FINANCE AND INSURANCE
• The Association of British Insurers has released new figures showing the total cost of the June and July floods to UK Insurers was approached the £3bn mark. The total number of commercial claims was 14,500. The average cost of June commercial claims was £90,000. The average cost of July commercial claims was also £90,000
• Insurance broker Marsh & Company, and insurer Hiscox have linked up to launch an insurance policy targeting high-street copy and print shops. The scheme includes full cover against theft as standard and also has a dedicated claims hotline as well as an interest free direct
debit renewal option. The product
is underwritten by Hiscox
• The BPIF and PrintYorkshire are to hold a second national finance and investment conference at the Thorpe Park Hotel in Leeds on 25 September this year. The conference will be offering a number of insights and solutions to both combat the threats and take advantage of the opportunities, facing the print industry today
