Commercial Combined Insurance
Commercial Combined Insurance provides a variety of insurance covers under one single policy.
Commercial Combined Insurance
Commercial Combined Insurance is the absolute foundation of protection for most trading businesses. Fundamentally, this package brings together critical covers—like liability, property, and business interruption—into a single, robust policy tailored to your specific operations.
For manufacturers, wholesalers, engineers, and warehouses, a standard “off-the-shelf” policy is rarely sufficient because your risks are complex. For instance, you likely have fluctuating stock levels, expensive machinery, and intricate supply chains. Consequently, you need an insurance programme that adapts to you, rather than the other way around.
At Daines Kapp, we don’t believe in guesswork. Therefore, we often conduct site visits to see your operation firsthand, ensuring no corner of your business is left exposed.
What is Commercial Combined Insurance?
A Commercial Combined Insurance policy is a comprehensive package that bundles multiple types of business cover under one single contract. Instead of managing five different policies with various renewal dates, you have one cohesive solution.
Crucially, this approach eliminates the dangerous “gaps” that can occur when you buy separate policies from different providers. Furthermore, it ensures that your Public Liability insurer and your Property insurer aren’t arguing over who is responsible for a claim.
Who Needs Commercial Combined Insurance?
In practice, this policy is specifically designed for businesses with physical premises, stock, or employees. It is the industry standard for:
- Manufacturers: Protecting raw materials, machinery, and finished goods.
- Wholesalers & Distributors: Covering high-volume stock and goods in transit.
- Engineering Firms: Protecting specialist plant and precision equipment.
- Warehouses: Covering inventory, racking, and logistics liability.
What Does the Policy Actually Cover?
Because this is a “Combined” policy, it is highly modular. As a result, we build it block-by-block to suit your needs. A typical programme includes:
| Asset Protection (First Party) | Liability Protection (Third Party) |
|---|---|
| Material Damage: Covers your buildings, machinery, plant, and stock against fire, flood, theft, and storm damage. | Employers’ Liability: A legal requirement if you have any staff. See the GOV.UK guidelines for details on the £5M minimum. |
| Business Interruption: Protects your Gross Profit. If a fire stops you trading, this pays your overheads and lost profit until you recover. | Public Liability: Protects against claims from the public or visitors for injury or property damage at your premises. |
| Goods in Transit: Covers your stock while it is on the move, whether in your own vehicles or with third-party hauliers. | Products Liability: Essential for manufacturers. Covers damages if a product you made or supplied causes injury or damage. |
| Money & Assault: Covers cash on premises, in transit to the bank, and in safes. | Directors’ & Officers’ Liability: Protects your management team personally against allegations of wrongful acts. |
Avoiding Underinsurance with Commercial Combined Insurance
Currently, the biggest threat to UK businesses isn’t just fire or flood; in reality, it is underinsurance. Due to inflation driving up the cost of raw materials and machinery, a valuation from three years ago is likely incorrect today.
For example, if you are insured for £500,000 but your stock is worth £1,000,000, the insurer may apply the “Average Clause.” As a result, this means they could reduce any claim payment by 50%, leaving you with a massive financial shortfall.
However, Daines Kapp helps you avoid this trap. We actively discuss valuations, seasonal stock fluctuations, and lead times to ensure your Commercial Combined Insurance actually pays out what you expect.
A Daines Kapp Site Visit
We believe you cannot properly insure a business from behind a desk. Consequently, for our regional commercial clients, we often undertake a site visit.
By walking your factory floor or warehouse, we spot risks that a computer algorithm misses. For instance, we might notice that your “Business Interruption” period is too short to replace a specific German-made machine, or that your security protections qualify you for a discount.
Ultimately, this hands-on approach is why clients in manufacturing and engineering have stayed with us for decades.
Ready to review your business cover?
Don’t wait for a renewal notice to find out you are underinsured. Speak to the commercial team today for a comprehensive review.
Frequently Asked Questions
What businesses need Commercial Combined Insurance?
This policy is ideal for SMEs and mid-market companies with complex needs, such as Manufacturers, Wholesalers, Engineers, Distributors, and Warehouses. Furthermore, it simplifies administration by grouping multiple risks into one policy.
Does this policy cover Business Interruption?
Yes. Business Interruption is a key component of a Commercial Combined policy. Specifically, it covers loss of gross profit and increased costs of working if your business cannot trade due to an insured event like a fire or flood.
Is Employers’ Liability included?
Yes. Employers’ Liability is usually a standard section within a Commercial Combined policy. It is a legal requirement in the UK for any business with employees, covering you for at least £5 million, although £10m is the standard granted by UK insurers.
Can you cover stock at third-party premises?
Yes. We can extend the policy to cover stock held at third-party storage locations, bonded warehouses, or goods temporarily at a subcontractor’s premises for processing.
