7 Business Insurance Tips for Female-Led Startups

For any startup, Business Insurance is an essential that often gets overlooked, but it’s one of the most important foundations to have in place. When it comes to protecting your equipment, team, or hard-earned reputation, having the right cover can mean the difference between a setback and survival after a crisis.

First for Women understands the unique risks women entrepreneurs face in South Africa and how critical it is to secure their budding businesses. In this guide, we’ll share seven must-know tips for female-led startups to help you stay confident, resilient, and ready for whatever comes your way.

 

Building businesses, breaking barriers

 

Across the nation, women-led startups are reshaping the business landscape. A World Economic Forum (WEF) report found that women represent 58% of Africa’s self-employed population and contribute about 13% to the continent’s GDP. The growing rise of female entrepreneurs reflects adaptability, innovation, and a determination to create economic independence and financial stability.

 

 Yet, challenges continue. Female founders frequently encounter funding gaps, with Mastercard research showing that 44% of women view this as a significant barrier, along with limited access to mentorship networks and the constant struggle to achieve a work-life balance. Many also take on greater personal and financial risk, making risk management essential for long-term success. 

 

At First for Women, we’re here to protect the women who protect their dreams. We help female entrepreneurs build businesses that thrive, break barriers, and inspire others to do the same. 

 

The common challenges faced by startups

 

Starting a business is an exciting prospect, but it also comes with plenty of challenges, especially for women founders. Financial constraints are often at the top of the list, with limited startup capital and cash flow pressures making every decision count. Add to that the uncertainty of evolving markets, supply chain delays, or changing customer behaviour, and it’s easy to see why stability feels hard to achieve. 

 

Many founders also find themselves juggling multiple roles, which means that critical areas, such as risk management, can get overlooked. Operational risks, including damage and theft, and liability, can quickly disrupt progress. And for female entrepreneurs, sustaining a healthy work-life balance adds another layer of complexity. 

 

These hurdles make one thing clear: Commercial Insurance is a vital safety net that protects your hard work, ensures continuity, and builds the foundation for long-term resilience and growth. 

 

The Best Business Insurance Tips for Your Startup

 

Starting a business takes courage. Safeguarding it takes foresight. Here are some practical tips to help women-led startups, like yours, build strength and self-reliance from day one. 

 

Tip 1: Understand your business risks

 

Every business faces individual risks. Whether it’s business interruptions, fire, public liability, or theft, identifying potential risks helps you secure the right protection. For example, a bakery may prioritise fire and liability cover, while a small design agency might worry more about data loss or equipment theft. A clear risk assessment ensures your insurance works for you – not against you. 

 

Tip 2: Start with the essentials 

 

You don’t need to cover everything at once. Begin with the must-haves: Business Contents Insurance, Business Interruption Cover, and Public Liability Insurance. These protect your customers, income, and physical assets in the event of operational disruptions. Start small and scale up as your business develops.

 

Tip 3: Don’t forget Vehicle and Equipment Cover

 

If your business depends on a vehicle or specialist tools, make sure they’re insured. From delivery vans to accidents and thefts happen. Don’t overlook All-Risk Cover for portable devices, such as laptops or phones, especially when you're on the move or working remotely. 

 

Tip 4: Protect your people 

 

Your team is your most important asset. Employee Cover, Income Protection, or Personal Accident Cover can make a huge difference when the unexpected happens. Women-led teams thrive when they feel supported and empowered. It’s good business sense and great leadership. 

 

Tip 5: Consider Professional Indemnity Insurance

 

Even the smallest startup can get caught up in a client dispute. Public Liability protects you from claims of error or negligence, which is crucial for consultants and service providers. 

 

Tip 6: Review your cover regularly 

 

As your business evolves, so do your risks. Schedule an annual review with your broker or insurer to check your cover is still sufficient. New hires, locations, or services might require updating. Staying adequately covered keeps you fully protected. 

 

Tip 7: Partner with a supportive insurer 

 

At First for Women, we know that running a business isn’t just about profit; it’s also about perseverance, protection, and purpose. Our tailored packages, expert advice lines, and legal support are designed to help women guard what they’ve built and keep moving forward with conviction. 

 

FAQs: Business Insurance for startups

 

• Do startups need Business Insurance?

Yes. Even startups face the risk of fire, liability claims, or theft. This insurance will protect your assets, income, and reputation, giving you financial security and reassurance as you grow. 

 

• What types of insurance does a small business need?

Business Contents, Business Interruption Cover, and Public Liability are essential. Depending on your industry, you may also need and Vehicle Cover, among other types of Small Business Insurance, for comprehensive protection. 

 

• How much does Business Insurance cost?

Premiums depend on your business’s location, risk level, and size. Startups can always begin with basic cover and expand as their operations grow. 

 

• How can startups reduce insurance costs?

Bundle policies with one provider, prioritise workplace safety, and review your policy on an annual basis. Avoid underinsuring, and ensure that essential risks are sufficiently covered. Balance cost with the right level of protection. 

 

Get a First for Women Business Insurance quote.

 

Want peace of mind when it comes to protecting your business? Get a First for Women Business Insurance quote today. Our friendly team is here to answer your questions and tailor the right cover for your startup’s specific needs.

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Sources:

1 World Economic Forum: https://www.weforum.org/stories/2022/08/how-female-led-start-ups-can-transform-africa/ 

2 Mastercard: https://www.mastercard.com/news/eemea/en/newsroom/press-releases/en/2025-1/march/south-african-women-entrepreneurs-poised-for-growth-with-57-identifying-as-business-owners/ 

Disclaimer: The information in this article is provided for informational purposes only and should not be construed as financial, legal, or medical advice. First for Women is a licensed non-life insurer and FSP, Ts & Cs online.