Do I need insurance?

Matrobdo

Hi,


I've created an online auction website (very much like ebay).


I work from home, I have no employees, the only equipment I have is my laptop, I don't (and won't) have any business related visitors.


The website allows people to list items for sale, and others to bid and buy them. Payment will be handled entirely by PayPal (as will disputes after purchase), so no money will go through my site or my business.


The site is free to join, free to sell, and free to buy. The only costs that users will incur will be transaction charges from PayPal.


I'll (hopefully) make money from advertisers.


So, do I need insurance?


Thanks for any help or advice you can offer.

Mistral001

Matrobdo wrote: »

Hi,


I've created an online auction website (very much like ebay).


I work from home, I have no employees, the only equipment I have is my laptop, I don't (and won't) have any business related visitors.


The website allows people to list items for sale, and others to bid and buy them. Payment will be handled entirely by PayPal (as will disputes after purchase), so no money will go through my site or my business.


The site is free to join, free to sell, and free to buy. The only costs that users will incur will be transaction charges from PayPal.


I'll (hopefully) make money from advertisers.


So, do I need insurance?


Thanks for any help or advice you can offer.

There is no legal requirement to have insurance if you do not employ people.

You have to make a business decision based on the risks you think you will be exposed to. If you think you cannot afford to pay out for being sued as a result of damages cause to a customer as a result of your mistake or negligence, then you might consider insurance such as professional indemnity insurance. There are other types. It depends on the risks.

Comms69

The risks are that you will hold private data, that private data has a value and that should you suffer a data breach you may be liable for a significant amount. (I appreciate that's specialised insurance)