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Setting up a business involves complying with a range of legal requirements. Find out which ones apply to you and your new enterprise.

What particular regulations do specific types of business (such as a hotel, or a printer, or a taxi firm) need to follow? We explain some of the key legal issues to consider for 200 types of business.

While poor governance can bring serious legal consequences, the law can also protect business owners and managers and help to prevent conflict.

Whether you want to raise finance, join forces with someone else, buy or sell a business, it pays to be aware of the legal implications.

From pay, hours and time off to discipline, grievance and hiring and firing employees, find out about your legal responsibilities as an employer.

Marketing matters. Marketing drives sales for businesses of all sizes by ensuring that customers think of their brand when they want to buy.

Commercial disputes can prove time-consuming, stressful and expensive, but having robust legal agreements can help to prevent them from occurring.

Whether your business owns or rents premises, your legal liabilities can be substantial. Commercial property law is complex, but you can avoid common pitfalls.

With information and sound advice, living up to your legal responsibilities to safeguard your employees, customers and visitors need not be difficult or costly.

As information technology continues to evolve, legislation must also change. It affects everything from data protection and online selling to internet policies for employees.

Intellectual property (IP) isn't solely relevant to larger businesses or those involved in developing innovative new products: all products have IP.

Knowing how and when you plan to sell or relinquish control of your business can help you to make better decisions and achieve the best possible outcome.

From bereavement, wills, inheritance, separation and divorce to selling a house, personal injury and traffic offences, learn more about your personal legal rights.

Businesses warned about "ghost" insurance brokers

13 August 2024

Experts report that small firms are being targeted by scammers, known as "ghost brokers", that advertise fake insurance deals.

The Insurance Fraud Bureau has warned that ghost broker activity is on the rise, with fraudulent motor insurance deals sold by  so-called ghost brokers on social media platforms increasing by 6% in 2023. Yet, less than one in five businesses are aware of ghost brokers - scammers that trick business owners into buying non-existent or counterfeit business insurance policies.

David Woodfield, chief insurance growth officer at insurer Bionic, explains: "Ghost broking is a type of insurance fraud which involves fraudsters posing as legitimate insurance brokers and tricking business owners into buying non-existent or counterfeit insurance. Motor and property insurance are two insurance industries which are particularly prone to ghost brokers.

"SMEs can be the perfect target for these scammers because they might not always have the time or resources to thoroughly check every insurance offer and attractive, low-cost insurance deals can be especially tempting to smaller businesses."

How does ghost broking work?

Ghost brokers advertise insurance deals with low premiums which might seem too good to be true. They promote these offers online, via social media and WhatsApp, in scam emails or over the phone. Once they've attracted the attention of a business owner, ghost brokers provide fake insurance documents, including fake policy numbers, official-looking logos and convincing legal language.

After business owners pay the premium, the ghost broker disappears without a trace. When the business tries to make a claim, they find out that the insurance company has no record of the policy. By then, the ghost broker is long gone.

What are some common ghost broking scams?

  • Fake insurance communication. Scammers use emails, letters, text messages and social media posts and adverts to offer policies or ask for details to update a current policy. They're designed to look official and often promise huge savings on insurance premiums.
  • Fake insurance quotes. Ghost brokers often provide fake quotes that are significantly lower than genuine market rates. They might present these quotes with convincing documentation and professional presentations.
  • Fake no-claims bonus. Some ghost brokers entice small business owners with policies that include a fake no-claims bonus. They make it appear as though you have a no-claim history, which reduces the quoted premium.

How can businesses protect themselves from ghost brokers?

Business owners that have fallen victim to a ghost broker should report the fraud to the police immediately. Collect all emails, messages, documents and receipts related to the scam. This evidence is crucial for investigations and any legal actions that might follow.

If the ghost broker has impersonated a legitimate insurance company, businesses should contact them to tell them about the fraud. The insurer can guide on the next steps, and in some cases, they might be able to offer temporary coverage.

Ghost broking scams can lead to identity theft. It's a good idea to request a detailed credit report from all major credit bureaus - look for any new accounts or credit inquiries that you don't recognise and report any suspicious activity immediately.

It's also a good idea to consult with a legal professional to help navigate the legal implications of the fraud, get guidance on how to move forward and assist with claims.

Written by Rachel Miller.

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