BUSINESSES are increasingly facing an insurance "minefield" that extends far beyond the immediate concern of soaring liability premiums.

Corporate manslaughter, pollution defence and investigations by the authorities are among the hazards that some firms may be neglecting as they struggle to assess risk.

Motor insurance is one area causing firms growing administrative problems due to the popularity of cash-for-car salary packages.

Employees who accept cash instead of a company car may be doing business mileage on behalf of their firm without adequate cover.

Times are "changing fast", says broker Stuart Alexander, which has a Bournemouth office.

Twenty years ago companies had a "limited list" of insurance requirements with standard cover for their buildings, vehicles and public liability.

But now insurers are devising tailored packages with specialist insurance "for everything from medical equipment to charity raffle prizes."

Research in the insurance industry reveals that up to 80 per cent of companies affected by a major incident either never reopen or fail within 18 months.

Stuart Alexander's Bournemouth branch manager, Kelly Martin, said: "Nobody wants to set up and run a business for it then to be ruined by unforeseen circumstances.

"Companies running fleets of vehicles know these have to be insured but it is so important to look at all aspects of protecting the future of your business."