What You Need to Know About Business Insurance
Anyone who owns a business that offers products or services to customers or hires employees should invest in business insurance. This type of insurance helps to protect the financial assets of the business from losses that might occur due to property damage, vandalism or theft, lawsuits, loss of income, and expenses associated with employee illnesses and injuries that result from their working for the business.
Types of coverage for business
The insurance needs for your business will depend upon a number of factors, including size, location, the type of business engaged in and the number of employees working at the business. Liability insurance is a basic necessity for any company since it protects the business against financial loss resulting from claims of bodily injury or property damage. This type of policy also protects business owners against having to cover legal fees associated with lawsuits.
Workers Compensation is another type of insurance business owners need to cover the cost of work-related illnesses and injuries. This type of policy provides invaluable protection against lawsuits filed by employees or the families of deceased employees.
Property Damage is another category of business insurance policy that can help you recover following a natural disaster or fire. Statistics show that as many as two out of every five business locations destroyed by fire, storm or damage caused by vandals never re-open their doors if they were not covered by insurance. Insurance helps to repair or rebuild a business that has suffered property damage without the owner having to dip into their own pocket.
Among the major benefits of an insurance policy that covers business is helping the owner manage risk by providing financial protection from losses. Business owners can enjoy peace of mind from knowing that an unexpected lawsuit, employee accident on the job or property damage caused by a natural disaster won’t force the business to close its doors due to financial loss. And like other types of insurance, policies geared toward a business can be customized to meet the needs and budget of that particular business.