You may be wondering about business insurance and want to know why you need it or if you really do. Perhaps you’re a new business owner or perhaps you have a successful existing business. However, whatever the circumstance is, you most definitely do need insurance for your business.
Insurance for your business can help you with many things such as liability claims or property damages. Businesses that don’t have insurance will likely have to pay out-of-pocket expenses when it comes to costly damages such as legal claims against their company. Obviously, it depends on each individual incident, but it could lead you into a whole lot of financial trouble.
Which ones are most important?
There are plenty of different insurances you should consider for your small or large business, however, that doesn’t mean you need them all. Though, what it does mean is that there are a few that are almost essential. So, let’s take a closer look at them.
- Business liability insurance- Business liability insurance helps cover any costs that may be the result of liability claims. This means that if a customer were to fall and injure themselves on your property, they would have their rights to be able to file a lawsuit against your company. This insurance can help cover the costs of the claim
- Business income insurance- If your business is not able to operate due to loss, business income insurance will help replace any lost income. It is an awesome way to make sure that you are able to keep paying your bills and payroll all while your repairs are being completed.
- Workers compensation insurance- Workers compensation insurance makes sure that there is financial support provided if your workers are unable to work due to illness or injury that was sustained on the job. For example, if your employee were to be lifting a piece of heavy equipment and hurt their back, workers compensation insurance would make sure that they receive any help with medical costs that they need.
Do I really need it?
It is a great idea to make sure that your business is covered by insurance as there is too much that can happen so leaving it to chance is never a good idea. There are plenty of options available for every type of business and you are never left without options. The right policy could mean everything and could be the difference between your business shutting down and staying alive.
When considering insurance for your business, you also need to consider these six things:
- Employees and customers
- The type of work you do
- The industry you’re in
- Intellectual property
- Your physical premises
- Property and equipment
You will need to keep this in mind as which business insurance you choose is heavily based on these six things and as you grow, your coverage needs may also drastically change. Also, consider that each type of industry/business will require different types of insurance. Keep your assets, employees, equipment, reputation and customers safe by taking out insurance coverage. Find out more here.