If you are a business owner, then you probably know that your business is exposed to many risks such as accidents, lawsuits, different damages and much more. Therefore, to protect your business from such unexpected events, you need to get a proper coverage for it. In fact, if you are actually planning to get insurance for your business, then there is a wide variety of options to choose from. So before you choose your coverage, here are some things you need to consider before your purchase.
1. Understand your business’s risks and needs
Before applying for any insurance policy, you first need to identify and understand the risks and needs of your company. You need to imagine the worst scenario that could possibly happen to your company, and come up with the potential consequences. This way, it will be easier for you to identify your threats and needs. As a business owner, you should remember that it is not only about the company, but also about its customers and employees. So when you choose your coverage, make sure it protects all aspects of your business.
2. Know your policy options
Once you identified your risks and needs, you can now choose your policies. Many different policies provide excellent coverage for your business, and some merely provide basic protection. Here are some of the basic coverages you need for your business:
General Liability Insurance protects your business in case of property damage or physical injury caused by business operations. Also known as Commercial General Liability Insurance, it usually includes Property Damage or Bodily Injury, Medical Payments and Personal & Advertising Injury.
Commercial Auto Insurance protects your Business vehicles from physical damage, natural disasters and other unexpected events that may occur on the road. Similar to personal Auto Insurance, Commercial Auto insurance includes a coverage of liability, collision, comprehensive, medical payments (or personal injury protection) and uninsured motorist coverage.
Workers’ Comp Insurance is mandatory for most businesses. It protects you and your workers from injuries and illnesses resulted while being in the workplace. The policy includes payment for medical treatment, replacement income, compensation for any permanent injuries, temporary and permanent disability and death benefits.
Property Insurance/Business Owner’s Policy (BOP) protects your equipment and buildings against vandalism, theft, or natural disasters. Commercial property insurance will also cover business interruption and lost income, among other damages.
3. Choose a professional agent
Along with the basic policies mentioned above, there are other additional policies that might be very useful for your business such as Directors and Officers Insurance, Data Breach Insurance and so on. In order to know them thoroughly, you need to work with professional insurance agents whom you can trust and who will tell you about each and every policy in detail. If you are planning to get business insurance soon, our qualified insurance agents will only be happy to help you with the policy choosing process and will answer to any of your questions.