Leading a company means that you have to know all of the potential risks associated with small businesses in general and those explicitly associated with your type of business and industry. Having the right amount of commercial liability insurance for small business is crucial for your company’s financial stability – no matter how little it is.
What does “commercial general liability insurance” mean, exactly? You can define it as an insurance policy with broad coverage of general business risks. CGL policies usually come in two types: one that covers claims regardless of when the event in question occurs and involves only events that occur during a set period.
For many small, start-up businesses, a CGL policy is sufficient coverage – at least when starting. You might want to look more into specific coverage types to add to your insurance. Since your business will grow eventually, you might want to look into purchasing some employee health insurance or add protection from lawsuits from disgruntled former employees or job applicants you turned down.
Whether it’s a slip or a fall or some other type of accident on your business property, you’ll still have to worry about a claim even if it is not your fault. Even if the responsibility lies entirely with the injured for not being careful, you’ll still need commercial liability insurance for small business to protect you from any claims.
Nearly all small companies have general liability as well as property insurance. Workers’ compensation is also popular, even if there are only a few employees. In some states, workers’ compensation and unemployment insurance are required for any company with employees, no matter how few.
Commercial Liability Insurance for Small Business Can Help Your Family
Business income insurance is something you might need if your family’s financial well-being depends on your business. It covers the lost income if your company cannot operate due to a loss covered in the policy, such as fire damage, flooding, vandalism, etc.
Suppose your company involves having to leave the premises and go someplace else to do the work, such as landscaping. In that case, there are options like Business Income Extension / Protection for Off-Premises Operations. This kind of coverage helps to replace income if you cannot complete your job due to problems with the job site’s equipment.
Commercial auto insurance is also essential to have – even if you use your vehicle for work-related travel.
The size and type of your business doesn’t matter. You’ll need commercial liability for small business, and one place to get it is with Hiscox Business Insurance. You can get a wealth of useful information as well as a free quote.