Operating a business is a significant investment. You have to navigate a lot of risks and responsibilities. Things can be overwhelming at times. Business insurance will help you navigate those risks and avoid a financial catastrophe.
Business insurance is a policy that you can lean on when an issue arises. It helps cover your assets and protects you from losing everything. Business insurance is important because you’ll have the peace of mind knowing that your business is protected while you navigate different risks. You are covered financially if your business sustains losses. Without the safety of business insurance, you will have to cover those losses out of pocket. Business insurance covers the costs associated with property damage, lawsuits, and potential loss of income in liability disputes.
Types of Business Insurance
Liability insurance is important because it protects your business from getting sued due to claims that you caused bodily injury to someone or that your business damaged someone else’s property. Remember that your business could be sued for anything. One of the most common liability suits is if one of your customers alleges that your negligence caused them to get injured on your property. Perhaps you didn’t mop up the wet spot, and as a result, they suffered a slip and fall injury. Perhaps one of your products caused a customer to become ill.
Commercial Property Insurance
Commercial property insurance covers your headquarters and all of the equipment that you use to operate your business. Your business items are covered if they are stolen or vandalized. Your business is also protected if it catches on fire or is damaged due to severe weather. Commercial property insurance prevents your business from having to start all over again. Keep in mind that you will have to add extra coverage to protect your business against the threat of an earthquake or heavy flooding.
Workers’ Compensation Insurance
Workers’ compensation allows you to protect your employees while also eliminating the risk of a potential lawsuit. It covers your employee’s medical bills if they are injured on the job. The policy covers all of their lost wages. Your employees are also covered during the rehabilitation process, such as physical therapy. In the unfortunate event that one of your employees dies from their injuries, workers’ compensation will cover their funeral costs. In addition to protecting your business, workers’ compensation also allows you to look out for your employees. If you don’t adhere to your state’s laws related to workers’ comp, your business may face fines and penalties.
Lost Income Insurance
Lost income insurance covers your business if you are drastically impacted by damage to your building or products. You can rely on lost income insurance to take care of important expenses, such as your utilities and making payroll.
Errors & Omissions Insurance
Errors & Omissions insurance protects your business by covering your business against claims that it did not provide the services that were promised.
Commercial Auto Insurance
If you or your employees use vehicles to conduct business, commercial auto insurance will cover you. Commercial auto insurance covers any property damage that you cause while out on the road. You are also covered if you accidentally cause bodily injuries. Your personal auto insurance will not cover any claims associated with a commercial vehicle.
Commercial umbrella insurance adds another layer of protection if a claim exceeds the coverage limits on your liability coverage. Umbrella insurance can protect you from paying out-of-pocket expenses when your losses exceed the limits of your standard insurance coverage.
Business insurance can protect you from losing your most important assets while covering your business operations. If you have questions about your policy, contact the experts here at First Insurance Solutions. We will help you find the best coverage for your business.