Business Insurance: What Kind Of Coverage You Need

Step 2: Learn & Meet Legal Requirements

When you have employees, it’s essential to acquire the right insurance policies. To ensure their well-being there must be Worker's Compensation, Disability and Unemployment Insurance; while certain industries may need Professional Liability such as medical malpractice for doctors. If your business involves operating vehicles then Commercial Auto Insurance is a must in order to protect them from accidents or damage on the road. Do your research and get to know your business/industry so that you can meet the legal requirements for operation.

Step 3: Find The Right Insurance Agent

Once you’ve got your research in hand you’ll need to speak with an Insurance Agent to see how you can be fully covered, as well as how you may be able to bundle and save. Keep in mind that while shopping around isn’t a bad idea, when it comes to choosing the right insurance policy, price should not be your only concern. Make sure the agent is asking lots of questions. If they aren't asking tough or thought-provoking questions, find another broker who will! Don't just choose a cheap option that may leave you in financial hardship if something unexpected happens.

 The relationship you have with your agent is important, and you want to make sure you select one that truly cares about you and growing your business together. After all, it's a business partnership.

Pro tip: When possible, run all of your commercial insurance through the same broker or agent to avoid potential gaps in coverage, save by bundling, and avoid the hassle of making claims with several different providers.

Types of Coverage

There are MANY different types of insurance that businesses need and it’s important to be familiar with all of them to make sure that your business not only has what’s legally required, but also what could keep your protected from a lawsuit. Below are some of the various types you may need.

Commercial Property Insurance

If your business property (real estate, equipment, furniture, etc.) is damaged, destroyed, or lost due to a fire, storm, natural disaster, vandalism, riot, theft, explosion, or other unforeseeable occurrence, this insurance pays to replace or repair the business property.

General Liability Insurance

If, through the course of business operations, your business causes damage or injury (of any kind, including bodily harm, property, reputation, etc.), this insurance pays the claim to the aggrieved party, or disputes the claims in court if need be.

Product Liability Insurance

If you are sued because you manufactured or sold a defective product, or a product that caused an injury or damages, this insurance pays out that claim or disputes the claims in court.

Professional Liability Insurance

If your company gives bad advice, fails to advise as contracted, or performs a service that results in harm or damages to a third party or their property, this insurance pays that claim or disputes the claims in court.

Workers’ Compensation Insurance

If your employee becomes sick or injured as a result of their work or workplace, this insurance covers their wages, medical bills, funeral costs, and any civil settlements that result.

Business Income Insurance

If unforeseen disaster interrupts your ability to generate revenue, this insurance covers the costs of keeping you in business, covering bills, profits, and more.

Commercial Auto Insurance

Similar to personal auto insurance, it covers liability if a driver of your company vehicle has an accident and damages people or property, and also covers repairing or replacing the vehicle itself.

Commercial Umbrella Insurance

This blanket policy extends the coverage of most of your existing liability policies, creating extended coverage in the event your business is found liable for damage exceeding pay-out limits.

Cyber Liability Insurance

If privileged data escapes your company’s possession and is then used to commit fraud, identity theft, or otherwise scam a third party, your business could be held liable to pay damages, which this insurance then covers or disputes.

 The right insurance is the difference between your business succeeding and losing all you’ve worked for. We are here to make sure that you’ve got the right coverage. Give us a call or visit our website to get a free quote today.