Business insurance protects companies from unplanned expenses that may arise during the usual course of doing business. In this article, we discuss briefly the steps to insuring a business and the types of business insurance.
4 Steps to Insuring a Business
1. Consider your risks
Consider what kinds of mishaps or natural disasters may impact your company. For example, if your business is in a commercial region that is prone to seasonal catastrophes such as fires or hail storms, you will know the level of commercial property coverage you should be looking at.
2. Do your research
Once you have an idea of the extent of coverage your business needs, the next step is to begin reviewing insurance companies that can help actualize it. Insurance companies may differ on pricing, conditions, and offerings. If you’re reading this then you’ve already found the perfect insurer for your business, Leadway Assurance is at your service.
3. Work with a reliable licensed agent
Most large organizations prefer to work with licensed brokers or agents. They assist organizations in finding coverage that is appropriate for their company’s needs. They are compensated by insurance companies when they sell insurance policies.
4. Re-evaluate yearly
Your obligations will increase as your company expands. If you have acquired or changed equipment, or if your firm has expanded, you should contact your insurer or broker to discuss the changes and how they affect your coverage.
3 Types of Business Insurance
1. Property Insurance
This is required whether a company owns or leases its premises.
In the case of a fire, storm, or theft, property insurance protects equipment, signs, inventory, and furnishings.
Floods and earthquakes may not be covered by basic property insurance plans. If your area is prone to these disasters, speak with your insurance provider about coverage extensions available.
If a claim is made, the property insurance policy will either compensate the insured for the actual cost of the damage or the cost of replacement.
Learn more about Property Insurance.
2. Worker’s Compensation Insurance
This insurance should be added to a company’s insurance policy from the moment the first employee is employed. It covers medical care, disability, and death payments if an employee is hurt or dies while working for the company. Slip-and-fall injuries or medical issues might result in a costly claim even if employees appear to be performing low-risk employment.
3. Auto insurance
Every company vehicle should be adequately insured. Businesses should insure against third-party injuries at the absolute least, but having comprehensive insurance will also cover your vehicle in the event of an accident. If workers use their vehicles for business purposes, their insurance will protect them in the case of an accident.
Learn more about Auto Insurance.
Getting business insurance is very important especially if a disaster or unfortunate event could rapidly wipe out your organization’s assets. Having the proper insurance in place is the best bet to ensure both your personal and business assets are adequately covered.
Reach out to Leadway Assurance today to see what types of insurance we recommend for your business, and get covered as quickly as possible.