Three Types Of Insurance Your Business Must Have
Updated: Dec 6, 2021
Is there one insurance policy that could cover everything that your business needs? Yes, there are options like that. Some insurance companies offer programs that include everything that your business could possible need coverage for. However, such policies can be quite expensive especially for those who are just putting up a start-up business.
The cost of buying insurance might make you think twice about ever buying insurance for your business. But it shouldn’t stop you. Instead of investing in just one insurance policy that costs an arm and a leg, you may opt to purchase several types of insurance coverage that will provide you with practically what you need.
If you’re not sure which one to get, here is a list of the three types of insurance policies your business must have:
Car Insurance – you have a vehicle that you use exclusively for your business. Whether it is to make purchases or deliveries, this vehicle is used on a daily basis to make your operational requirements more accessible. Accidents on the road happen when you least expect it, so if you don’t want to be caught off guard, it is best to purchase a car insurance for the business car. In case it runs into an accident while being used for business purposes, you’ll have enough money to cover for its repair and restoration.
Liability Insurance – whether you are running a business that offers services or products, you must be prepared for any professional liability claim. This is the kind of policy that provides defence against damages for any form of failure in providing the services or products that your clients and even your employees expect from the business. Liability insurance comes in many forms and buying only the general liability insurance may not give you the protection that you need. You may add a professional liability insurance to ensure that your professional practice and its interest is protected at all times.
Worker’s Compensation Insurance – this is the type of insurance that you will need to ensure that your employees are provided with help that they need in case they get injured while doing the job assigned to them. This is the type of insurance that will provide them with medical benefits and even wage replacement while they are recovering from the injury they got. In exchange, the employee gives up all his rights to sue the employer (that’s you!) for the incident that happened in the workplace.
There are still several individual insurance policies that you need to consider buying for your business. At the end of the day, what matters is that you can provide protection for your business investment and everything that comes with it that may be at risk.