Your Business Is One of Your Most Valuable Assets


As a successful business owner, you’ve put a lot of time, money, and hard work into your business. And as a result, your business may very well be one of your most valuable assets. How do you protect that asset from loss or other risks? The answer is business insurance.

There are plenty of insurance options available to help business owners protect themselves and their assets. With so many options available from so many providers, however, finding the insurance solutions that are right for your business can seem overwhelming.

There are plenty of insurance options available to help business owners protect themselves and their assets.So how do you know what type of insurance you’ll need and how much will be sufficient to cover you? The first step is to become familiar with the types of business insurance available. In general, business insurance is available to protect:

  • Property
  • Liability
  • People
  • Income

Property Insurance

This type of insurance can protect your business property from loss and damage as a result of a wide variety of events, including fire, storms, and vandalism. Note that property can include not only your building but also equipment and other company assets, and lost income due to interruption of business.

Liability Insurance

Let’s face it – mistakes happen. With liability insurance, you can protect yourself and your business from financial exposure as a result of errors or injury. There are several types of liability insurance, including:

  • General liability insurance. This protects you against legal claims associated with accidents, injuries, or negligence.
  • Product liability insurance. If you manufacture, sell, or distribute a product, you may want to consider product liability insurance, which protects you from loss in the event that your product is defective.
  • Personal liability insurance. If your business is a service business, personal liability insurance can protect you against errors made while providing your service.

Employer Insurance

If you have employees working for you, you will need to provide additional insurance to protect you in the event an employee gets injured or becomes ill on the job. This is called workers’ compensation insurance. All employers must carry this coverage, which provides benefits in the form of cash payments and medical and hospital services to employees who are hurt or ill.

Income Insurance

You know better than anyone that without income, your business cannot survive. With income insurance, you can protect your business in the event your business operations are interrupted due to fire or other unexpected events that are covered by your policy.

Once you’re familiar with the types of insurance, you must determine how much and what you need. For the best assistance, you’ll want to speak with an insurance broker or agent. Here are some questions to consider before you meet:

  • What type of business do you operate? Certain businesses require specialized coverage.
  • What are the assets of your business?
  • What types of property do you need to insure? Take an inventory of your business property.
  • What stage is your business in? If your business is a start-up, your needs may vary from those of an established business looking to expand.

The type and amount of coverage you need will depend on your answers to these questions. Your insurance professional can help you find the answers. Remember, it pays to get involved and shop around for the best policies and prices. It is, after all, your business.

 

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