There are plenty of types of business insurance to consider with some being fairly obvious while others not so much. From the day you start your business, it is full of hard work, blood, sweat, and tears. Though, in the midst of hard work, you may also forget that by launching a business, you are also opening yourself up to a whole new world of risk. So, when you work that hard for something, why would you let it go uninsured.
Types of Business Insurance
You may think that your business doesn’t need insurance until you employ people, but that could not be further from the truth. Your business is at risk far before that.
That is why it is of the utmost importance that your business is insured right away. All it could take is one foul mannered customer, one lawsuit, or one bad event and all of your hard work could be wiped away forever and you will be out of pocket to cover legal costs. Some businesses never come back from that. That could all be done before your business even had a chance to get its feet off the ground.
Luckily, there are a large variety of different types of business insurance around that can cover all aspects of your company so that you will be safe and covered in case of emergency. Here are some types of insurance you should have for your business.
1. Vehicle Insurance
If you have vehicles that will be used within your company, you will likely need vehicle insurance. Your vehicles must be fully insured just in case you are to get into an accident that may occur for whatever reason. Your work vehicles should also at least be insured against third-party insurance so that you can have some form of coverage should an accident occur.
2. Property Insurance
It really doesn’t matter whether your business owns or leases a space, either way, property insurance is an absolute must. When you take out property insurance for your business, the insurance will cover signage, furniture, inventory, and equipment in the event of theft, a storm, or a fire. Larger events such as floods and earthquakes are not usually covered under any general property insurance policies.
3. Workers Compensation Insurance
Once you have taken the step to acquire your first employee, you must look at adding workers compensation insurance onto your businesses insurance policy. Your employees will be covered for medical treatment, disability, and even a death benefit if your employee is to pass away or become injured as a result of their work duties.
Your employee may be completing a low-risk job; however, injury claims could still be very expensive.
4. Professional Liability Insurance
If you want your business to be covered in the event of negligence claims (which is highly recommended) professional liability insurance should definitely be a priority. These claims may come from errors or mistakes that have caused harm due to failure to perform. When it comes to professional liability insurance, there is no one size fits all options, unfortunately. As you evaluate you options, talk to your insurance agent for a detailed analysis of this type of business insurance can guard you from professional liability.
5. Product Liability Insurance
If your business is manufacturing products for general market sales, you will need to look into product liability insurance. It doesn’t matter how many warnings you send out or how many measures are taken, if damage occurs from one of your products, you could be held liable. Your business will be covered should a case like this arise as it will protect your business and help you achieve the best possible outcome.
6. Personal Insurance
While this one isn’t necessarily for your business, it is always a good idea to consider any personal insurances such as life insurance, final expense insurance, or burial insurance for your employees and yourself. These are all fairly easy to qualify for and will provide you with a large form of coverage. Considering any of these types of business insurance can make sure that if you are to pass away, you will be able to keep your family safe.
With life insurance, burial insurance, and final expense insurance, if you are to pass away, your family will receive a death benefit so that you are not leaving them to foot your fees after you pass. They will already be dealing with many emotions, so financial instability shouldn’t be one of them.