As soon as your products are ready, the doors are open, and you’re fired up ready to go, there are still a few more bases you may want to cover. Several types of insurance are available to keep you covered and worry-free, and business insurance is one of them. 

This insurance can make a huge difference when things go wrong and prevent staggering loss if you suddenly encounter any action on your property that can bring about a personal injury lawsuit. Many small business owners make the mistake of not securing appropriate coverage for their interests, so make sure you’re covered! 

2 Vital Questions to Ask Regarding Business Insurance:

The entity formed when you decide that you want to go into business keeps you from being liable for incurring debts and final judgments. This action still does not protect from a breach of data, flood, fire, or personal injury lawsuit. Here are two vital questions to ask yourself about business insurance that will allow you to make a final decision. 

  • Do you have property that can be replaced? If you currently have inventory, computers, and other equipment that would be costly to replace, it would be a good idea to be insured. Having thousands of dollars of inventory that you must account for during a mishap would make searching for business insurance an important must. 
  • Could you suffer the consequences of a lawsuit? If there is a chance your business could be sued for a large sum, it could very easily bring about a high amount of instability. This could happen if someone has an accident on your premises, you leak valuable data, or if you sell a defective item that a customer reacts negatively to or is harmed by.

If you had to answer “yes” to either of these questions, obtaining business insurance will help you encounter drastically less risk. 

Categories of Business Insurance:

Several types of business insurance are available to protect you against risk. Some of the most vital criteria to examine first are your business’s category, and how large it is.

  • Liability Insurance will cover your expenses for attorneys helping you with injuries, negligence, and accident litigation. Many people think that home-based businesses do not need liability insurance, but it’s a good idea to help protect against the many forms of liability you encounter.
  • Property Insurance will reimburse you if you undergo damage due to storm, theft, or a natural disaster such as a fire. If you work from home, your homeowner’s policy may provide you with this form of coverage.
  • Vehicle Insurance will provide you coverage if you suffer damage to any of your company vehicles used during business hours.
  • Workers’ Compensation Insurance will assist you with lost wages and costly hospital care for employees who are injured on the job. Nearly every state requires employers who have more than a certain number of employees to carry this coverage.
  • Professional Liability Insurance protects wholesalers, distributors, retailers, and manufacturers. Any products you created or sold could have you liable if there is harm to a customer that uses it. 
  • Umbrella Insurance will extend your overall coverage to account for losses that go above and beyond the limits of your other existing policies. Many business owners are incredibly satisfied with this tier of coverage, as it truly helps avoid catastrophic losses.

Taking the Asset-Protecting Step to Purchase:

Everyone at Alexander Insurance has a passion for helping business owners’ dreams come true. You can often enjoy discounts for obtaining a policy that combines several types, and it pays to shop around to make sure you select the correct coverage. If you are considering going with the bare amount available, it is beneficial to realize that it may not fully cover you when it comes time to begin a claim. Numerous available policies have coinsurance clauses written in them that will only partially reimburse you if you suffered under coverage.

We will always clearly lay out what your insurance covers and remind you when your policy is due for renewal. If an accident occurs and it comes down to making a claim, we will be ready and waiting to help when the going gets tough. We would love to assist you during the final steps of preparation for this journey, and can’t wait to cheer you on when your business is up and running!