The Necessities of Business Insurance Coverage
If you have a business, small or large, business insurance is necessary because that can help with covering any costs that have to do with damage on your property as well as claims. If you don’t invest in business insurance, owners will most likely have to pay out of pocket for any damages and claims against their business which can be very difficult and can result in losing your business. Depending on the state you live in, there are different types of business insurances that might be required.
Insurance for your Small Business
For most businesses, it is required to have a business owner’s policy. This policy puts together business property, liability, and income insurance. Business or commercial property takes care of the area where your business is located and its assets including furniture and documents.
The next type of insurance in the business owner’s policy is the business liability which helps take care of any claims that have been made against your company. An example can be if someone that doesn’t work there falls and injures themselves in your property, they can sue your company. If you have this insurance, it can help big time cover costs for claims like the example mentioned.
If you have any lost income in your business, that’s where the business income insurance comes into place. Having this helps make sure you can keep paying bills and keep paying your employees during the freeze of the business. An example can be if there is a strong hurricane that comes and damages your entire building, this insurance can help with the lost income during the time the building is closed.
Depending which state you live in, most businesses require insurance coverage. Also, your employees in most states will need workers compensation, unemployment, and disability insurance.
If your employees are unable to work due to an accident that accrued during work or illness, that is where worker’s compensation comes in. An example can be if one of your employees lifts something that is too heavy at work and they injure there back, this insurance will help cover any medical costs
If a worker is laid off from their job not because they did something bad but maybe because the company needs to cut off costs, or because of the global suspension that is currently happening, workers are eligible for unemployment.
Is this type of insurance a requirement for your business?
If you own a business, this question might keep popping up in your head. Business insurance isn’t required if you have a business. There are many types of insurance choices owners can choose from whether they are faced with a lawsuit or if a natural disaster occurs.
Your business has to have some sort of insurance for employees that are employed in almost all states. Theft, lost earnings, and injured employees can be all covered with worker’s compensation. Again, if you decide to not go with a business insurance policy, you’re going to have to pay out of pocket of anything happens which can potentially ruin your business.
It is important to do your research and find out if business insurance is necessary for your business depending what state you live in. Unemployment and workers compensation are required in almost all states and depending where the location of your business is, some might even require you to have disability insurance. If you want to be safe and cover yourself in case of an unexpected event, business insurance is the perfect implement to have for your business.
Out of all insurances, why business insurance?
So many types of business insurance coverages are accessible to business owners, that way they can decide which coverage will work best for their business. When it comes to deciding which coverage will work best, you have to think about what type of work it is that you do, where your business is located, the equipment that is used, and most importantly your employees and clients. You also want to always remember that as the years go by and your business starts growing, you will need to change your coverage and stay up to date. Your business might need different needs than someone else’s business so it is most likely you will have a different insurance than them and that is normal.
Landscape Insurance Coverage
Business Income Extension specifically for operations that aren’t done in site can help replace loss if your equipment is damaged. This type of insurance is best for landscape businesses. Another insurance that you might want to consider for your landscape business would be Pest coverage. This one will help cover costs from pollution that comes from pesticide.
Real Estate Businesses Coverage
Commercial auto insurance helps with any costs if an employee gets into an accident while driving to work. Employment practices liability is also another coverage to consider for real estate businesses. This can help cover costs if an employee harasses or discriminates another employee. Employee benefits liability helps with any costs if your company did a mistake in the benefits plan for the company.
If you own any food/beverage business having Liquor Liability and temperature change insurance is key. A lot of restaurants that serve alcohol require you to have liquor liability insurance even before opening up the business. This is important because if a customer were to get into a fight with someone else, the restaurant can get sued and be held liable. Having this insurance can help with costs of the claim caused by the sale of alcohol. If your refrigerator breaks down, temperature change coverage can help pay for a replacement and even replace whatever was in it.
Franchise Upgrade coverage is very beneficial for retail businesses. This can help with costs if you want to have your store up to date with upgrades to meet the standards after an accident that’s been covered. Also, if you have Business Income from Dependent Properties, it can help you if you’re third party you buy supplies from goes out of business and can no longer provide you what you need. Depending on the reason of why the third party shut down, this coverage can help with any income you lost.