As anyone who has ever owned or operated a business will tell you, deciding to start a company is the easy part. But making it a success takes proper planning, a strategy, and some real business sense. Many owners succeed by doing all the little things right, but being prepared for any mishaps or unforeseen contingencies — that’s where the real challenges lie.
The most successful businessmen are those that take the time to investigate, and invest in, an array of business insurance policies geared to protect them from any circumstances, both known and unknown. There are many business insurance options available, and among them is one vital piece of coverage known as business interruption insurance, but the process of simply choosing insurance policies can become overwhelming, which should lead to a host of questions.
Obviously, the process can be simplified through the knowledge of an insurance agent who can provide some insight and help determine which products and services best fit your needs. But it also helps to have an understanding of many of the more basic business insurance policies out there as you begin the process. Let’s look at a few of the general types of business insurance options that most owners will likely need:
- Property insurance is one of the basic necessities for a business, one that protects the business against damage or loss to its physical assets
- Casualty insurance provides protection against legal liability for injuries sustained on company property, as well as damage to property not belonging to the business
- General liability provides coverage for damages your business may cause to other’s health, property, or possibly their reputation, and covers everything from legal matters due to accidents involving employees, injuries to customers, and other similar claims of negligence, such as false or misleading advertisement
- Umbrella policies come in handy when the limits of coverage on other insurance policies are reached, since it will cover any costs beyond limits of the other policies, and
- Business interruption insurance will help get a business back up and running in the event that a catastrophic event causes a loss in the business’ stream of income
For example, business interruption insurance would cover lost sales, rent, and payroll in the event that you had to rebuild your business following an accident, as well as help pay for temporary office space and/or equipment. Make the smart choice by speaking to an agent about your business coverage needs.