Opening up a new business requires a lot of planning and strategizing. Achieving the American dream and taking on the responsibility of being a business owner is an exciting, yet challenging journey. Insurance is your business partner, saving you and your business in the event of unplanned accidents. Part of your business planning should include discussing what types of insurance you will need with your agent. Here are some of the important general insurance policies that you should look into upon becoming a business owner.
- General Liability Insurance
- Liability insurance covers your business from bodily injury and property damage to third parties that may occur. If someone gets injured on your property, for instance, then you would have potential coverage with general liability insurance. This type of insurance should be at the top of the business insurance needs.
- Property Insurance
- If anything were to happen to the property in which your business is located, whether you own or lease the space, property insurance is a must in your insurance planning. This insurance covers inventory, equipment, furnishings and more, in the case of a fire, storm, theft and many other perils.
- Business Interruption Insurance
- Business interruption insurance goes hand in hand with property insurance. If a natural disaster occurs or an event disrupts your operations, business interruption insurance could enable you to recover loss of income during that time. This protects your business from a major financial loss.
- Workers’ Compensation
- Not only is it important to insure your property, it is law that you must have insurance for your employees. Workers’ comp provides coverage for employee medical treatment, disability and death benefits due to work related injuries. Employees can slip and fall, even during a low risk work assignment, so be prepared for anything that could happen and add this type of insurance to your plan.
- Umbrella & Excess Insurance
- In order to be fully insured, adding umbrella and excess insurance is a reliable addition. With this type of insurance, your business has an additional layer of protection sitting above the underlying policies and also may offer coverage that may be excluded from the underlying policies. This way your business is insured for unforeseen events that may come your way.
