You insure your home with the best First American Home Warranty, now it’s time to insure your business. Whether you are a one-person shop or a corporate conglomerate, you must make certain you are protected against any foreseeable or unforeseeable incident. One thing goes wrong, and you could lose it all. You didn’t work this hard to build your entity to have it gone at the drop of a hat, so make certain you have all the coverage you need. Here is a list of insurance coverage no business should be without.
The U.S. Small Business Administration explains that general liability insurance protects your business against a monetary loss for any number of reasons. Included under the general liability umbrella are bodily injury (slip and fall, for example), bond/judgment settlement, lawsuit defense, libel/slander, medical expenses, and property damage. Don’t go without this broad protection.
If you own commercial property, including equipment and machinery, make certain to protect it with commercial property coverage. Much like your home insurance policy protects your home and its contents commercial property coverage mitigates damage and/or loss due to fire, theft, vandalism, and weather damage. If you need additional earthquake and/or flood protection, get it.
Home-Based Business Coverage
Entrepreneur magazine brings up an excellent point. Many home-based businesses forget to add business insurance to their homeowner’s policy. If you have business equipment in your home, such as computer equipment, fax machines, printers, and tools or other machinery, you need to secure additional coverage to protect them. Make certain your home-based business is protected in all areas.
If what you do could directly affect your client, you may need professional liability insurance. Also known as errors and omissions insurance, professional liability protects you and your business against your own mistakes. If you’re a CPA who makes a costly error on a client’s tax returns, you may be held liable for the mistake. This insurance protects you against your resulting financial loss.
No business should be without workers’ compensation insurance if it is required by law to carry it. For example, Washington state law requires nearly all employers to carry workers’ compensation coverage, so Seattle business insurance packages should include this. Check with your state’s insurance commission to see how much workers’ compensation coverage you must hold.
Finally, if you work in some sort of product manufacturing, you’ll want to get your hands on product liability insurance. If your product has the potential to harm someone, you must protect yourself against potential legal action. Imagine a toy part you manufacture fails and children are injured or worse, your product liability coverage will protect you against any damages you may incur.
Never go without the business insurance coverage you need. Even if you work out of your home, you must protect your equipment against damage, loss, or theft. You might even consider insurance to cover your expenses in the event you cannot operate for a time. Can you afford to close your doors unexpectedly? Make certain that you stay in business no matter the incident. Whether a slip and fall or natural disaster, if you’re covered, you’ll be able to make a claim and keep your business running.