Why You Need Property and Casualty Business Coverage
Opening up a business is going to take a lot of responsibility. Not only will you have to manage your employees, satisfy customers, and manage finances, you'll also need to learn how to protect your business from anything that could destroy it. The last thing that you will want as a business owner is for your business to fall apart due to an unforeseen event taking place. Business get robbed, sued, and suffer loses, so protecting your business is crucial.
One way to protect your business is by getting it insured with business insurance. There're many different forms of business insurance and this article is going to go over a few of them, so you will be able to choose which coverage is best for your company. Many businesses owners just choose a plan and don't exactly know what they are getting. This is something that is not advised since you will want to know what you are covered for in case something happens.
Here is a list of the different types of business insurances that you can purchase from an insurer:
Commercial Property Insurance
If your business has a lot of expensive assets, this will be a very important coverage for you to business. Commercial property insurance covers your business building, the things that are in the building such as equipment, Inventory, and other assets. These things are all covered in the event of a loss. So if your building was to be robbed or an accident occurred, you will be covered, which would prevent your business from taking a severe loss.
Hopefully, you can now see why commercial property insurance is something that every business should have, especially if they have expensive equipment within their building. The cost of your premium for this coverage will depend on whether you have insurance company replace the lost items or give you a cash value for the items that were lost. Usually, the premium coverage will be more for an insurer to cover replacement cost, but this option is better to get your business running back to normal quicker.
Commercial Casualty Insurance
Commercial casualty, also known as, commercial liability Insurance protects the business against lawsuits from negligence due to your business, property damage, and injury. If you're borrowing money from a bank or another financial place, they usually required your business to have casualty coverage to protect themselves as well. This coverage also protects your business if a customer gets hurt on your property. An example of this is a customer slipping and falling due to a floor being wet or a customer getting injured because something fell on them. This insurance coverage will cover the cost of the legal expenses, medical payments, and settlement costs.
More often than not, insurance companies will usually try to combine casualty and property insurance because businesses usually need both types two meet the requirements of their financial investors. The insurance company will often provide a package which will simplify the buying process. This makes it easier for the business owner and makes the who experience less overwhelming.
Most state laws require businesses with employees to have workers compensation. Workers compensation will cover the cost of lost wages for employees that are injured on the job. It will also cover medical expenses the employee may need, due to the work related accident. The cost of workers compensation will depend on the number of hours each employee works and it also depends on the type work that is being done. Usually, high risk jobs cost more when it comes to worker's compensation.
You will also want to be covered by auto insurance if your employees drive company cars or trucks. This type of coverage will cover your employee's medical bills if they were to get in an accident. It will also cover the medical cost of the other drivers. The company car will also be covered so you won't have to pay for repairs out of pocket.
Professional Liability Insurance
This type of insurance will cover your business from financial loss lawsuits. This coverage is recommended to professionals who provide services, such as accountants, engineers, technology service professionals, and architects.
Protecting your business is crucial if you want to survive. Things happen unexpectedly all the time and you don't want to be in a position where you don't have insurance to cover the losses. It could be the loss of your whole business, depending on the severity accident. Insurance may seem like a lot of money, but the safety it provides is worth the cost. Plan on taking out the time, to figure out which insurance coverage fits best with your business. You can combine some insurance policies which will make the process much easier.
Know more about the Business Insurance Coverage required for your business.