Running and maintaining the day-to-day operations of a small business is no doubt both challenging and rewarding. Not only do you have to ensure that you have enough money on hand at all times to cover daily expenditures, but you have to acquire the right insurance policies to protect your business from the risks that it is exposed to. It is true that certain small businesses will be exposed to more risks on a daily basis than others, but the truth of the matter is that all small businesses are going to be exposed to risks. This is why it is more important than ever to understand the policies that are available to your business and how they can protect you.
Professional liability insurance
Professional liability insurance is also sometimes referred to as error and omissions insurance. This is a specific type of policy that covers against negligence claims. There is no one-size-fits-all policy for this type of insurance as each individual small business will have a specific set of concerns that will need to be addressed, but this policy can certainly offer the protection that you need. For instance, if you launch a new product and a baby chokes on one of the small components this policy can offer the protection that you need. If you own a plumbing business and make a repair that later leads to a flood this policy can cover the damages and the lawsuits that are involved.
Commercial car insurance
The road is an unpredictable and dangerous place. If you are going to have company vehicles out on the road you are going to need commercial auto insurance. In addition to driver safety standards such as 5G GPS tracking, commercial auto insurance is a must for any fleet of company vehicles. This policy will protect you in the event that you or one of your employees are involved in a vehicular accident. It can cover property damage, repair damage to the vehicle, and it can cover any medical costs involved. Just remember that it is also a good idea to always have a car accident lawyer on hand at all times because these cases can get tricky.
General liability insurance
It really doesn’t matter if you are going to lease or buy property, you are going to be responsible for everything that takes place on that property. And, this is exactly why general liability insurance is absolutely necessary. If you have customers or delivery men that are constantly in and out of your property there is always a chance for a slip and fall. Such cases usually result in length, drawn-out lawsuits that would force many small business owners to close up with, but with the right policies, you can rest assured that you will be protected from all possible risks.
Worker compensation insurance
Taking on employees is always a tricky venture, but it is something that is necessary for most small businesses. Even if you just take on one or two employees you are going to need workers comp insurance. This insurance will protect both you and your employees in the event that they are injured on the job. It will cover the medical costs of the injury, rehab expenses, and some policies will even cover the lost wages that the employee experiences while out of work.
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