What Are the Benefits of Insurance for Hybrid Working Companies

Since the pandemic, an estimated 37% of Australians work from home on a regular basis. Businesses, who are utilising the ability to offer hybrid working schemes are benefitting by saving money on electricity bills and expanding their pool of talent due to the regime. However, while working from home suits the employee, the employer is exposing their company to costly risks which could transpire into permanent closure or lawsuits that can be costly. Without the correct protection, companies that offer home working are placing themselves in a position that could permanently impact a company.

ii-A recognises the appeal of homeworking, yet also is highly aware of the threats that face businesses that offer this on a regular basis. Below are just some of the threats facing a regularly home-working environment:

1. An Unattended Office

When a business allows their employees to operate from home, they are ultimately saving money on expenses such as electricity bills, water bills and utilities. This means that any finance saved can be reinvested back into the business to contribute towards projects such as expansion and sourcing extra talent.?

While home working offers a cost effective solution for a business, they are allowing their office to be left unattended which heightens the risk of damage, burglary and vandalism to the building. This unexpected damage will prove costly for a business in the short term, as any damage will have to be fixed immediately in order to ensure office working can resume. Burglary could also mean that expensive and vital equipment is stolen, meaning that a business cannot trade and has to cease operations until the equipment is replaced.?

Further to this, official and private documents may also be kept onsite in the office. By leaving these documents in an unattended office, there is the risk of a data breach if someone is able to access these documents. This would be a costly mistake for a business, because they would have to cover the cost of repairs for any damage caused to the building as well as compensation for those who had been a victim of the data breach. Having the cover and financial aid available to protect yourself and your business is a necessity for hybrid offices, to ensure that you are protected if there is damage or theft at your business’ location.

2. Cybersecurity

Working from home also elevates the need for a strong cybersecurity package. Due to employees' home working and operating on different wifi’s (with many employees often utilising public wifi), the risk of data being compromised is increased. A study by Forbes found that four in 10 had their data compromised while using public wifi. As you cannot control where an employee works from, you have to be aware that there will be increased risks of data breaches, which could damage your company's reputation and finances.

With the increase in home working since the Covid-19 pandemic, research has revealed that cyber attacks have also been on the rise. This demonstrates why homeworking, while it may have its advantages, does pose a genuine threat to companies and their supposedly secure, private data. Data leaks could also lead to further issues such as widespread mistrust from the public, due to potential exposure of unethical practices or criminal acts by the management. These additional threats that are posed to a company also require further insurance. Without it, your business is likely to have to cease trading in the long run, due to reputational damage that cannot be fixed.

3. Employee Health

Despite the employee working from their own home and not being onsite, you are still liable if they get injured, including mental health. As it is your responsibility to ensure a safe working environment for your employees, ensuring that they are covered under some form of workers insurance is vital to protect yourself.

As you are also liable for mental health that may arise due to work, it is important that you check in on your employees and have regular sessions to discuss their mental health and see if anything needs to be implemented to support them. As working from home is often isolating and doesn’t involve much interaction, many individuals may become more lonely and subject to mental health conditions such as depression and anxiety. Not only will this ensure that your employees feel listened to and valued, having cover will also guarantee that you are protected if an employee attempts to sue for damages.

The best decision you can make as a business owner is to take out some form of insurance. Whether it is multiple policies that protect you against several concerns such as corporate liability and indemnity, or a singular policy such as our cyber insurance, we can guarantee that by investing in us today, you are investing in your future tomorrow. While homeworking is still a popular option for both employees and employers, there is still an extensive list of risks that threaten a business.?

ii-A can not only provide you with cyber insurance, we can also provide you with peace of mind that your business is secure even when your employees work from home. Get in touch to learn more about our services.