Every business needs insurance. But when it comes to purchasing insurance, you need to think about the different types of insurances you may need. Not all businesses have the same requirements. You need to do a risk assessment and work out exactly what you need to cover. Some insurance will be required by all businesses, but some are dependant on the work that you do. For example, if you are into the tree care business, you will most likely get a tailored insurance policy for your tree care business. So consider the work you do, if you regularly come into contact with the public, what leaves you vulnerable to getting sued, how likely you are to be broken into, etc. To give you some insight into the different types of insurances there are, we have listed a few below for you:
General Liability Insurance
If your business comes into contact with the public, then you are going to need this insurance. It does not matter if this is on your premises or somewhere else. This insurance will protect you from any kind of compensation claims such as an injury or damage. If you are open to the public, like a shop or restaurant, or you are a tradesperson, you should generally get this type of insurance. It may be worth your while discussing insurance with your lawyer as they should be well versed in the types of insurance your business type should need.
Workers Compensation Insurance
If you employ members of staff, then it is probably essential that you get this type of insurance. By getting this, you are covered should any of your team make a claim against you because they suffered an injury, illness, or have suffered some sort of damage due to the fact that they were employed in your company. If you only employ close family members, this type of insurance may not be required.
Professional Liability Insurance
This type of insurance covers you if your business makes any errors in the professional services it provides. Mistakes do happen when you have been trading for a while, and this type of insurance will cover you for those errors. That is why it also goes by the name of professional indemnity insurance or errors and omissions insurance.
Business Income Coverage
If your business loses income or has to close for a time due to some sort of incident this type of insurance will cover you. For example, if there is a flood and you need to shut up shop for a few weeks, business income coverage will cover the costs of the income you have lost during this time.
Commercial Property Insurance
This type of insurance will help you cover the cost of any damage, vandalism, or if anyone breaks into your business premises and steals something or everything. Basically, you are covered if the building is in any way compromised. That means you can make vandalism adjuster claims. You are also covered against any natural events too. Like if your roof is damaged by a huge storm or a tree falls into a window, you can claim commercial property insurance.