Liability insurance to boost customer confidance
This query is : Resolved
11 March 2021
Dear Team,
I am running a Pvt Ltd Company with two directors and its basically involved in gold trading. We also perform monthly gold chit. Every month collect advance money from my customer, buy gold and store it in safety insured vault and deliver to my customer when the chit ends.
Some of my customers are feeling unsecured that what will happen if something happened to the company such as bankruptcy.
So can I take any kind of liability insurance (say D&O insurance) to boost my customer confidence? Is it legally correct?
I am running a Pvt Ltd Company with two directors and its basically involved in gold trading. We also perform monthly gold chit. Every month collect advance money from my customer, buy gold and store it in safety insured vault and deliver to my customer when the chit ends.
Some of my customers are feeling unsecured that what will happen if something happened to the company such as bankruptcy.
So can I take any kind of liability insurance (say D&O insurance) to boost my customer confidence? Is it legally correct?
CA R SEETHARAMAN
(Expert)
11 March 2021
Yes, you can take such insurance, it's legally right.
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