Start smart › Pre-Launch Insurance
The insurance you need before launch!
You’re not trading yet, but you’re close. Here’s what to sort now so you’re covered the moment you open your doors, without overbuying or leaving gaps.
Why insurance before launch matters
Most founders think insurance is something you sort out after you start making money. But here’s the problem: the moment you interact with clients, suppliers, or the public, even for testing or beta access, you’re exposed to risk.
Here are some common pre-launch scenarios that need to be considered.
1
Meeting with potential clients at your premises or theirs
2
Accepting pre-orders or deposits
3
Setting up a physical location (lease agreements often require proof of insurance)
4
Working with contractors or suppliers who require you to be insured.
The two policies most pre-launch founders need
Public Liability
What it covers
Legal costs and compensation if someone gets injured or their property is damaged because of your business activities.
Why you may need it
- Many lease agreements require it before you can move in
- Some suppliers or contractors won’t work with you without it
- If you’re meeting clients or hosting events, you’re exposed
Professional Indemnity
What it covers
Claims from clients who say your advice or work caused them financial loss, errors, omissions, missed deadlines, or negligent advice.
Why you may need it
- Anyone providing advice or services
- Even pro bono or beta work can result in claims
- Clients may require proof of PI before engaging you
- Claims can arise years after the work is completed
What you can wait on
(for now at least)
Business Interruption
Covers lost income if you can’t trade due to fire, flood, or other insured events. Not relevant until you have revenue to protect.
Workers Compensation
Mandatory once you hire employees, but if you’re solo or using contractors, you don’t need it yet.
Cyber Insurance
If you’re not yet collecting prospect information or contact details, this can wait. Once you start gathering interest, revisit it.
Business Property & Stock
If you haven’t invested in equipment, stock, or fit-out yet, hold off. Once you’ve invested in physical assets, consider this.
Common questions
About insurance pre-launch
Can I just wait until I've signed my first paying client?
Not if you’re meeting with clients, running trials, or operating from a leased premises. Insurance protects you from incidents that happen during the setup phase, before you’ve made a cent.
What if I'm just doing this as a side hustle?
How much does pre-launch insurance cost?
Do I need insurance if I'm working from home?
What happens after launch
Once you start trading, your needs will evolve. As revenue grows, you’ll increase coverage limits. When you hire, you’ll add Workers’ Compensation. When you invest in equipment or stock, you’ll add Business Property cover.
This is just the foundation. The goal right now is to launch legally and safely, without overbuying or leaving gaps.