Starting your own business means taking on some risks, and taking on risks always involves insurance. Even if you start small, you’ll have to protect your investment. You are going to have to start looking for insurance quotes for small business owners. Always be prepared if something unexpected happens. Businesses are sued daily for one reason or another, whether it’s due to a physical injury or some slander.
Every type of insurance is priced based on various factors. Such factors include the number of employees, the value of company assets, and your risk tolerance. Other factors are risks specific to your industry and the amount of liability protection you think you’ll need or will make you comfortable. Your financial history may also play a role. It depends on whether you’ve previously owned a business and you were involved with other claims.
Many new businesses start with what people call a “Business Owners Policy” (BOP). However, most companies will eventually need to carry more than this, as a BOP is not “individualized” enough. As your business grows, you’ll need more specialized coverage. Keep this in mind as you look over insurance quotes for small business owners.
A BOP usually covers property damage, which is similar to a home insurance policy. It also contains liability insurance covering damages paid in settlements or judgments. Finally, it has a business interruption coverage if the company covers a loss that strikes your physical property and causes a slow-down or complete stop of operations. Right now, the most important thing to do is to find out what the minimum requirements for business insurance are in your state. How much of it do you have to carry by law?
Insurance Quotes for Small Business Owners Working from Home
What about home businesses? Just because you work from home doesn’t mean that you don’t need any additional business insurance coverage. Check with your homeowner’s insurance company first to find out if you can have special coverage for business-related equipment and property. Suppose you don’t like the offer you get or feel that it is enough. In that case, you can still look for insurance quotes for small business owners online to see what is available for home-based businesses.
Don’t forget about vehicles. Any vehicle used in any way during your business operations – even for small tasks such as errands – should be insured via a commercial auto policy.
These are all factors to keep in mind as you do your research. It would help if you knew what kinds of risks are associated with your industry and understand some of the basics of how commercial insurance works. Take the time to get insurance quotes for small business owners from organizations such as Hiscox Inc.