All the business insurance policies and requirements you need to know

Your business may be the most important thing in your life, but that doesn’t mean it’s risk-free. Without proper insurance coverage, your business can easily fall apart when something bad happens. However, you don’t want to choose an insurance policy just because it sounds good or because the insurance agent made a compelling case.

For one thing, different businesses have different needs and requirements based on their activities and locations; an insurance policy that works well for one business might not be right for another.

General Liability

You might need general liability insurance if you have customers who come to your office or if you host events or meetings. If you have products or services that could cause harm to someone, you will also want to make sure you’re protected.

Commercial Auto

If you use a car for business purposes, you need commercial auto insurance. This type of policy covers vehicles used for business, such as delivery trucks or company cars. Commercial auto insurance typically includes liability coverage, which protects you if you cause an accident that injures someone or damages property.

It also usually includes collision and comprehensive coverage, which cover damage to your vehicle regardless of who is at fault. You may need other types of coverage as well, depending on your business.

Umbrella Liability

If your business is sued, an umbrella liability policy can help cover the costs of a legal defense. This type of policy can also help pay for judgments or settlements that may come as a result of the lawsuit. Most umbrella liability policies have a limit of $1 million, but you can purchase higher limits if your business needs them.

Office Property, Renters, and Equipment

No matter what type of business you have, you’ll need some form of office property, renters, or equipment insurance. This will protect your physical space and belongings in case of damage or theft. Make sure to talk to your insurer about what type and amount of coverage is right for your business.

Workers Compensation

Every business with employees needs workers’ compensation insurance. This type of coverage protects your business in the event that an employee is injured on the job. If you don’t have workers’ compensation insurance and an employee is injured, you could be sued for damages. Workers’ compensation rates are based on your company’s payroll and the type of work your employees do.

Errors & Omissions Liability

Also known as professional liability insurance, this policy covers you for any mistakes or oversights you make in your professional capacity. If a client sues you for damages because of something you did (or didn’t do), this policy will help cover your legal fees and any settlements or judgments against you.

Cyber Liability

As a business owner, you’re responsible for protecting your customers’ data. That means having a cyber liability policy in place in case of a data breach. This type of policy can help cover the costs of notifying customers, as well as any legal fees that may arise.
Workers’ Compensation (three sentences): If you have employees, you’re required to have workers’ compensation insurance.