From the day you decided to start your own business, you have made yourself vulnerable to an extent. You have open the doors to various risks that could make or break your chosen business. Even before you hire your first employee, the business is already at risk, making it nothing less than essential to invest in buying business insurance. A simple lawsuit can mean a catastrophic loss for the business that has yet to take off and find success.
Fortunately, business owners like yourself have access to a wide range of business insurance options to protect the kind of business that you have. To ensure that your business is out of danger, here are the top three insurance types that you must purchase and have in place as soon as possible:
Professional Liability Insurance
This kind of insurance is also known as Errors and Omissions (E&O) insurance provides coverage for the business against negligence claims. This may be due to or a result of the mistake of at least an employee or its failure to perform as expected. There is no one type of Professional Liability insurance that fits all kinds of businesses. This is the kind of insurance coverage that you will need to ask for further details. Each type of business will have its specific kind of concerns. It is best to discuss this insurance policy with a trusted insurance advisor.
It might be fairly easy to dismiss this type of insurance, especially for businesses or are merely renting their commercial space out. However, little do people know that companies no matter the nature of their property ownership should purchase this type of insurance policy. This is the type of insurance that covers not only the commercial space itself but as well as equipment, inventory, signage, and furniture in the event of a fire, storm or theft. However, most insurance companies do not include massive destruction incidents like floods or earthquake. So if you live in an area that is frequented by such, make sure to ask for a separate policy to cover these two.
Worker’s Compensation Insurance
Once the employees have been hired, it is best to add this type of insurance to the business program you bought. This insurance will cover disability, medical treatment and even death benefits of employees. Also if employees seem to work at low risks zone, a simple slip could cause severe damages. All of these could result with a pricey claim, and the only way to keep the business protected is to buy insurance today and have them work with utmost ease, knowing that the company cares enough for them to provide them with insurance care.
Now, which of these insurance programs do you have to add to your insurance purchase?