Contractual

Protection in Contractual Commitments

In this module, we will focus on Contractual Insurance, an important component that protects your business from risks in contractual commitments.

What is Contractual Insurance?

Unlike statutory insurance, contractual insurance is not mandated by law but is often required to meet the obligations outlined in your business contracts.

IC-IE-Collage-Web-Assets_module-template-hero

Examples of cases where you may need contractual insurance:

Proof of Liability Insurance:

Often, businesses must show proof of liability insurance to use facilities for meetings or conferences. This requirement is specified in contracts or agreements, ensuring you can operate smoothly and professionally.

Customer Demands:

Contractual insurance is essentially any coverage your customers require you to have to conduct business with them. While sometimes negotiable depending on the services you provide, it's crucial to understand and meet these insurance requirements to maintain strong business relationships.

Watch the video to learn more.

Transcript

Contractual insurance is not legally mandated but may be required to meet your company's contractual obligations. In other words, it protects your business from the risk you take when you sign a contract.

For example, you may be required to show proof of liability insurance for a facility you use to hold meetings or conferences.

This insurance requirement is dictated in the contract or agreement, but it is essentially any insurance that your customers ask you to show proof to do business with them.

Of course, this insurance is sometimes negotiable depending on the type of service you are providing.

Previous Module

Next Module