Owning a small business typically means investing extended hours into growing your business and ensuring it stay afloat. This comes with a long laundry list of responsibilities that you are tasked with as the owner of the business. However, your top most priority should be ensuring the continuity of your business regardless of the circumstances. This is where business insurance comes in. There are a myriad of risks posed to your business that could compromise its success and longevity. By taking out various types of business insurance, you are doing what you can to ensure you cover these risks as best as you can. Here are some of the types of business insurance that you should contemplate.
General liability insurance
General liability will protect your business against general claims such as negligence, libel, accidents, lawsuit costs and more. Since there are numerous instances that could put your business at risk of liability, they are all covered under the canopy of general liability insurance. For example, perhaps you have a glass business. You install new windows for a client and some shards get on the ground. If a hapless passer-by becomes injured through this broken glass, your general liability insurance will provide your business protection from the damages that may come with a lawsuit.
As the name suggests, this insurance covers damage to any property owned by your business. These range from equipment used in your office, computers, tools and more. For example, if your glass business happens to be hit by extreme weather, chances are that all property within the premises (yours as well as your clients') will become damaged. Your property insurance will then cover the cost associated with the replacement of these items, thus ensuring your business does not suffer from losses due to property damage.
Errors and omissions insurance
This type of insurance is also commonly referred to as professional liability insurance. It protects your business in the event of any mistakes that may be made from your end when providing goods and services to your clients. For instance, if your glass business fails to deliver quality goods to a customer and they have already paid for the goods rendered, chances are they could choose to sue you for not keeping your end of the bargain. The errors and omissions insurance works toward protecting you from these lawsuits.
This is a relatively new insurance policy but quite pertinent in this digital age. In the event your business undergoes a cyber-attack, it could end up crippling your operations. With cyber insurance, you can rest assured that the insurance company will cover the financial cost to get your website and any relevant databases up and running.