In your personal life, you’ve probably made sure that your family is properly insured. You have car insurance to protect yourself in the case of a car accident. You have home or renters insurance to protect you in case something happens to your home. You have health insurance to protect yourself in case of a health diagnosis that you weren’t expecting. You’ve got yourself covered for all these different little things that could happen in life, but what about your business? Are you leaving yourself unprotected there?
Owners of small businesses have to deal with the reality of their business’ budget on a daily basis. You may feel that you cannot afford more than just basic business insurance that is required by your landlord, mortgage holder or other interested parties. The truth is that you may be unable to afford not having the insurance that your business needs to be protected. The costs of being uninsured may be large enough that your business is no longer viable, and must close its doors.
What would you do if you or an employee made a mistake on behalf of a client, and this mistake was something that could cost that client a great deal of money? This client is going to sue you and your company to recoup this loss. How will you be prepared to pay for it? Your basic business insurance plan may or may not cover this loss, and will probably not cover any legal fees that you would face in such a lawsuit. Insurance coverage for Errors and Omissions or professional liability coverage is the better way to be prepared in the case of such a circumstance.
Perhaps your small business creates a product that is sold directly to the public and other small businesses, and there is a problem with the materials in one of the batches that your company has produced. This problem caused harm to the consumers that have purchased the product in the form of an allergic or perhaps even an electrical fire. Product liability insurance is coverage that will protect your company if such an instance would occur. The cost will differ depending on the type of products that you produce because it will drive how much coverage will be necessary.
Peril specific insurance is good to look into for your business depending on a number of factors. For instance, if your home is located in an area known for flooding, and your home insurance doesn’t cover it, you would need to obtain specific insurance to cover flooding. The same is true for your business. If your business runs a risk of flooding, fire, and even crime, you should look into this type of insurance.
Another type of peril-specific insurance includes business interruption insurance. This insurance is put into place to protect you when your business is forced to come to a standstill. For instance, a broken machine or fire. These circumstances might be covered by your other business insurance, but your losses for not being able to operate your business are probably not covered. This insurance will pay out in these instances to help keep your business afloat until operations can start back up.
You and key members of your staff are the ones who keep your small business going. This group of individuals is made up of the ones who know what needs to be done and when for your company, and the loss of any of these individuals can spell disaster. Key Employee Insurance can help to protect your business in the case one of these key employees are disabled in a way that keeps them from working or if they pass away. This insurance will provide the capitol needed to get other employees up to speed on how the business is properly handled.
Your business might need liability insurance that is tailored to it. For instance, a yoga studio or day spa may have different liability insurance needs as compared to a dry cleaner. An insurance professional is the best person able to help you foresee the types of incidents that can happen to your business. This is because of their unique perspective gained from experience in helping other small business owners handle their insurance claims. Take advantage of this knowledge, and better protect your business.
Life happens, and your business should be prepared to deal with any unexpected events that could occur today, tomorrow, and in the future. Talk to a trusted insurance agent today to make sure that you have the proper insurance to protect you from any of life’s little mishaps that can happen to your small business. You may find that the business insurance policies that you need to be prepared for these unexpected occurrences are not as costly as you had thought.
422 US Hwy 22 W, Unit 7
Whitehouse Station NJ 08889
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Whitehouse Station NJ 08889
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