Whether you are a new business owner, thinking of starting one, or have owned a business for awhile now, you need to understand the importance of getting the right commercial insurance coverage. It is definitely one of the most important ongoing investments you can make in your company. Operating any kind of business is already challenging enough, you want to at least eliminate the worry of suffering significant lost due to unforeseen circumstances such as someone getting injured on your property or getting sued.
Buying the appropriate amount of commercial insurance can make the difference between smoothly recovering with minimal interruption and losing your business entirely due to a severe loss. A general liability insurance policy covers claims of bodily injury or property damage by a third party. At the very least, you’ll need this. Personal injury might also be covered under a commercial liability policy. This will protect you against claims of libel and slander as well as cause damage.
While a broker-agent will assist you in coming up with a proposal on what the appropriate coverage options would be for your business, the decision is still ultimately yours. Make sure you understand everything about what a commercial insurance coverage policy will include and not include before making a purchase. If any concept is unclear to you in any way, you’ll need to ask your broker or advisor to explain things to you. It’s also worth taking the time to do your own reading and research.
In addition to property and liability insurance, you’ll also want to consider workers’ compensation if you have at least one employee. What happens if he or she gets injured while on the job? Business liability insurance alone usually just covers third parties. Property insurance covers the property itself and not the people working on it.
Speaking of property insurance, be sure that all buildings that are associated with your business in any way are included in your commercial insurance coverage. If you conduct at least part of your business from home, at least inform your home insurance provider to see if it might be cheaper to add special coverage on your home policy.
There are other types of business insurance that are industry-specific, as well as various forms and endorsements in addition to the basic commercial – property coverages that you might need, such as Builder’s Risk, which protects new buildings currently under construction.
The best place to begin your search for quality commercial insurance coverage is Hiscox Inc. All you have to do is enter your profession and state to learn about affordable, tailored policies.