Business Insurance
When you’re trying to reduce costs in your company budget, don’t make the mistake of reducing or eliminating your business insurance! Although it may seem like a smart place to cut costs at first glance, it’s really not a good idea. Business insurance is actually one of those required expenses that can protect you from a variety of disasters.
But wait! Besides protecting your bacon, it’s also legally required so you’ve got to carry it whether you want to or not. Which business coverage you will require will depend on your business. These are some of the basic coverages you should consider carrying.
Public liability insurance is a must have if customers or members of the public come to your premises. This is the policy that covers any damages for injury or to property because of an event that occurred on your premises. It also covers your legal costs and any other costs associated with the claim. Almost every type of business should carry public liability insurance.
Professional indemnity insurance protects businesses that offer advice or services to others. A website designer would be a great example of someone that should consider carrying this type of insurance. If you provided inaccurate information on a website that damaged the client you could be liable for damages. Professional indemnity insurance would protect you from such claims.
Shop insurance protects you in the event something happens to your business. If your business is destroyed shop insurance can help you get started again. Shop insurance policies are usually customized to meet each businesses individual needs.
Product liability insurance should definitely be carried if you sell any type of physical product. If you supply a product and something goes wrong with that product there is a good chance you are going to find yourself in a lawsuit.
Under the law you have an obligation to sell a product that is fit to use and you are legally responsible for any damage or injury caused by that product. Purchasing product liability insurance protects you by covering you against compensation awarded by the courts.
If you sell knowledge rather than a product, you'll need professional indemnity insurance. This protects you in the event you make a mistake that results in damage or injury and the client sues you. Your professional indemnity insurance will cover any judgment against you.
If your business involves the trades then you need to carry tradesmen insurance which will protect you from any suits for damage or injury that may be filed and awarded against you relating to your work.
Liability insurance is absolutely essential for every business. It protect you in the event of a claim against your business due to negligence. Be sure you carry adequate coverage because claims can run into the millions quickly and even small claims can result in substantial settlements.
Business insurance policies are available for businesses of all sizes from small business to large corporations. Be sure to shop around and find the best policy for your particular business. Policies vary a great deal so don’t be satisfied with mediocre coverage.
You’ve worked hard to build your business and you’re proud of it’s success. All that hard work has paid off! So be sure to protect yourself with a good business insurance policy!
