Most small business owners have a good idea of what tools, equipment and materials are needed to conduct their business. However, when it comes to insurance, they don\u2019t always know what to insure or how much coverage they require.<\/p>\n
At the very least, consider buying General Liability and Business Property insurance for your small business.<\/b><\/span> Or you can get a Small Business Owner\u2019s Policy (BOP) that contains both under a single policy. In most places, Worker\u2019s Compensation insurance is a necessity. If you or your employees will be driving for work purposes, then you will need Commercial Auto Insurance.<\/p>\n Once you have these basics covered, consider any risks that are unique to your business. Is your area prone to flooding? Are you handling large amounts of customer data? You will want to address your businesses\u2019 needs to fill any gaps that your primary policies don\u2019t cover.<\/p>\n Read on below to find out more about different types of insurances and how they can benefit your business!<\/b><\/span><\/p>\n This is the most basic liability insurance that all businesses require. The policy provides both defense and damages if you, your employees or your products and services have caused Bodily Injury or Property Damage to a third party.<\/p>\n Also known as Errors and Omissions Insurance, this policy covers you in the event that services rendered are done so improperly or failing to meet what was promised. For example, if a dental clinic\u2019s clerk schedules the wrong operation for a customer, then the insurance would pay for claims made against the dental clinic by the customer.<\/p>\n This coverage is important to safeguard your building or personal property, like office equipment, computers and inventory. This type of insurance protects your property in the case of a fire, vandalism, theft, smoke damage, etc.<\/p>\n A Business Owner\u2019s Policy packages all required coverages that a business would need. These include Business Interruption Insurance, Property Insurance, Vehicle Coverage, Crime Insurance and Liability Insurance. A BOP is technically a bundle of policies that you can choose to suit specific needs, and is cheaper than buying the policies individually.<\/p>\n For companies that utilize vehicles as part of their business, this policy is a necessity. Generally, you should be able to insure cars, trucks, vans and SUV\u2019s if they are being used in the course of your business. If there is any chance of any employee driving a company vehicle, then their names will have to be added to the policy as well. If employees drive their own cars, then you should consider a non-owned auto liability to protect the company.<\/p>\n Worker\u2019s compensation provides the security to your employees \u2013 that, in the incident that they are injured while on the job and are unable to work, they will still be paid and provided medical benefits. In exchange, the employee gives up their right to sue the employer.<\/p>\n This policy extends the limits of your liability insurance policies. In the case that your primary liability coverage does not meet the claims made against your business, Commercial Umbrella Insurance can help to cover the excess liability costs. This policy acts as a financial safety net.<\/p>\n This policy protects directors and officers of a company from their actions that may result in losses or complications for the company. For example, if a director or officer finds themselves in a legal situation through their actions, this type of insurance helps to cover costs or damages made against the company.<\/p>\n The laws and regulations surrounding sensitive customer data are strict. Though they vary from country to country, they generally serve to protect consumers from being exploited by businesses that collect their data. This type of insurance provides protection against losses in the case of a data breach.<\/p>\n This policy is self-explanatory. In the event that your business property is damaged by floodwater, Commercial Flood Insurance will act to cover the costs incurred.<\/p>\n Face it, accidents happen. Sometimes things just break down; at other times natural disasters may destroy buildings and equipment. Small business insurance can help your business survive and thrive during tough times. Without it, you may have to bear the costs on your own. The average cost of a liability claim is $15,000, so it is always better to be insured.<\/p>\n Very often, it is better to understand all the available policies, and then purchase them under a packaged solution like Business Owner\u2019s Policy (BOP) to save on costs.<\/p>\n1. General Liability Insurance<\/strong><\/b><\/h4>\n
2. Professional Liability Insurance<\/strong><\/b><\/h4>\n
3. Property Insurance [restrict]<\/strong><\/b><\/h4>\n
4. Business Owner\u2019s Policy (BOP)<\/strong><\/b><\/h4>\n
5. Commercial Auto Insurance<\/strong><\/b><\/h4>\n
6. Worker\u2019s Compensation<\/strong><\/b><\/h4>\n
7. Commercial Umbrella Insurance<\/strong><\/b><\/h4>\n
8. Directors and Officer\u2019s Insurance<\/strong><\/b><\/h4>\n
9. Data Breach <\/strong><\/b><\/h4>\n
10. Commercial Flood Insurance<\/strong><\/b><\/h4>\n
Conclusion<\/strong><\/b><\/h4>\n