Business Insurance Info
Business insurance policies are created with the intention to protect a firm’s assets and employees should accidents, injuries, or lawsuits befall the business.
The coverage levels that are considered as legally the minimum vary between the states and by the type of business being conducted. The larger the business, the more potential risks there can be and, usually, more coverage will become necessary. At the minimum, most business owners should obtain at least property, casualty, and general liability coverage. If a business has employees, then it will likely benefit from some kind of group health insurance and workers’ compensation coverage. If there is a vehicle or a fleet of vehicles utilized for business, then there will be a need to also obtain a commercial auto policy as well.
Many businesses are run under the erroneous assumption that by lowering their total coverage they can easily and safely cut costs. This might hold true until the need for good business insurance coverage actually arises. If accidents or injuries occur, the business owner can easily regret that he or she choose to cut these costs! Meeting just the minimum requirements can morph a minor issue into a major and costly problem. Once the minimum coverage amounts are attained, the owner’s own finances or the company’s assets are put on the line, threatening the business itself.
There are several basic types of coverage that every business should have. The first is a policy that protects company property like the office, equipment and appliances and general everyday but necessary supplies. A basic policy can also provide protection over many of the liability issues that can take place in the running of any business. Should an employee, client, or visitor be injured on company property, then liability insurance is what kicks in to cover some or all of the medical costs. It will also provide financial compensation for theft, vandalism, and from some minor legal cases.
As one’s business grows, it is imperative to have a policy that can fill in any gaps in coverage as time goes on. Issues, such as the new purchase of a company vehicle or the hiring of additional employees all will expose your business to extra risks. Additional coverage options or “riders” that a business might need as it expands include commercial auto and group health insurance coverage, workers’ comp and product liability insurance, to name just a few. Call today for more information!