Regardless of the size of the business you own, you need to right insurance. Learn five types of policies you must have in place to protect your business.
It doesn’t matter what kind of business you’re in. You expose yourself to risk the moment you start running a business.
Unfortunately, not every business is prepared for when accidents happen. Studies show that 75% of companies are underinsured by over 40%.
You need to make sure your business is protected in case the worst happens. Keep reading to learn five types of policies that every business needs to have.
- General Liability Insurance
The first thing you need to concern yourself is with injuries. It doesn’t matter if it’s your employees or customers. If an accident happens on your property or with one of your products, you might be liable.
General liability insurance will help you in these situations. It will help cover the damages in cases where an accident happens.
- Property Insurance
You never know when a disaster will strike. It can come in the form of natural disasters, crime, and negligence. If you don’t have property insurance, you’re going to have to rebuy everything yourself. Property insurance will cover any loss of property you experience.
Make sure you understand the common scenarios that will happen in your region. You want your policy to cover anything common in your area.
- Workers’ Compensation
It’s your responsibility to provide a safe working environment for your team. Unfortunately, you might not be able to handle everything that could go wrong. Your workers’ compensation policy will pay for any expenses an employee occurs as a result of an injury.
It won’t only save you from a lawsuit, either. This insurance is required by law in most areas. You can face severe fines if you fail to provide this protection for your employees.
- Product Liability
If you run a business that produces products for consumers, you’re in a higher risk category than other companies. You never know when a defect can appear in one of your products. You’re liable if someone is injured or dies because of a problem.
Your product liability insurance will protect you if a problem occurs. The type of product liability insurance you purchase will depend on your product. Research the type you need so you make the right choice.
If you’re having trouble finding the right policy, then consider looking at captive insurance. Click here to learn how enrolling in it can provide you a custom polity that’s tailored to your needs.
- Business Interruption
Even in today’s connected world, you never know when a problem will occur that shuts your business down. This can cause serious cash flow issues if you have no way to make money.
Business interruption insurance is for cases like this. It will compensate your business for lost revenue for when you’re shut down.
There Are More Types of Policies Out There
Don’t think that the bare minimum is all you need in business. Research the other types of policies that are out there on the market. Every business is unique, so make sure you have everything you need to keep your company protected.
Of course, finding the right insurance company to buy from is vital if you want a good policy that fits your needs. Check our blog to learn how to find the right people to work with.
