Running a successful business is hard work. It takes a lot of time and effort just to break even a lot of the time. Even when a business can finally start making a decent chunk of profit, it’s all too common for them to suddenly shut down because of a lack of essential insurance coverage. Here are 7 commercial insurance policies that any business owner shouldn’t overlook.
1- Property
There is no worse nightmare for a business owner than the thought of losing all their equipment and products. All it takes is a single fire to break out and you could be in trouble. Property insurance protects you from this terrible occurrence as well as many others.
2- Umbrella
Umbrella insurance is expensive and easy to forget about. However, the benefit it provides can be the difference between going bankrupt and walking away. Not just that, umbrella insurance gives you increased coverage limits on many existing policies as well as a wider definition of who counts as a covered party.
3- Renters
Running a business is difficult enough on its own. As a landlord, your problem can seem many times worse thanks to regular contact with tenants. That’s why having renters insurance is vital in this line of work. Renters insurance protects your property from damage as well as other dangers.
4- Cyber
Every modern business has to deal with technology in one way or another. Many businesses, for example, store their customers’ information is a secure server. No matter how secure the server is, however, there is always a risk of being hacked. Cyber liability insurance can help you keep things under control if malevolent actors decide to target your business.
5- Liability
Accidents can happen anywhere and your business can be in serious trouble if an accident happens on your property. Liability insurance gives your business protection from accidents that lead to a client, customer, or vendor getting injured in your business or from its products and services. This sort of coverage is a must-have if you’re in construction or manufacturing where accidents are much more likely.
6- Workers’ Comp
Most states require you to have workers’ compensation if you have even a single W-2 employee working for you. Failure to keep this insurance current can lead to hefty fines and other penalties. Giving your employees workers’ compensation also protects your business from being sued in the case of a serious accident.
7- Hazard
Some jobs are a lot more dangerous than others. Not having hazard insurance can quickly spiral your business in the wrong direction in these jobs. Once you’re covered, however, you can have the peace of mind that comes from knowing that you’re protected in case something bad happens.
It’s all too easy to ignore many insurance policies. Especially since a lot of the time it may not even seem needed or relevant. However, it only takes one accident for everything to fall apart. Having the right commercial insurance policy beforehand can easily save you from having the worst day of your life.