Are you starting a business and don’t know what insurances to get? Insurance can be confusing. Hopefully we can guide you through it.
Do You Need Insurance On Your Business?
Do you need insurance on your business? It is generally a good idea to have insurance on your business. The question to ask is do you have assets that you could lose and not get back if you didn’t have insurance?
Sometimes insurance is required by law in your state such as Worker’s Compensation insurance, but your state is most likely not going to come after you if you are a smaller business or do not have employees.
Business Insurance /Commercial Insurance
What Insurances Do I Need On My Business?
Specific Types Of Insurances You Will Need
These insurances you will absolutely need when running a profitable business:
General Liability Insurance – The common insurance referred to when people say “business insurance” covers lawsuits that may occur and just commercial insurance in “general”.
Workers Compensation Insurance – Covers a lot of different things but very specific instances can range to if a employee slips or falls in a work place or even if a employee decides to sue or even file for unemployment this will cover those paychecks to the unemployed employee.
Other Insurances You May Need
Commercial Auto Insurance – Do you have a company vehicle in the companies name? Perfect. Do you do jobs driving around in a vehicle or own fleets of vehicles? We got you covered.
Professional Liability Insurance – This can be needed if you are an expert in your field and provide advice and receive compensation for consulting fees or for your expertise. This would cover if someone were to give advice that would end up costing someone money.
General liability Insurance, Workers Compensation insurance, Commercial Auto Insurance & Professional Liability Insurances are all insurances that you can get on your business with any insurance carrier and they are the same across all carriers. The only thing that changes is the amount of liability. Most of the time it is good to start with at least $1,000,000 in liability. You should make sure that these policies have the exact same coverages when shopping rates across carriers.
General Types Of Insurances You May Need
Industry Related Insurances – Insurance directly related to your industry. Example, if you are in construction and need “Builders Risk” policies on buildings under construction. Or if you own a restaurant expensive cooking equipment for things not under normal wear and tear or even expensive laundry machines for laundromats.
Insurance For People You Do Work With – When you work with people they may require certificates of insurance or proof of insurance. We have you covered with confidence if this happens. Best thing you should do is ask if they require anything special or ask for an example “COI” or example Certificate of Insurance. Sometimes it is good to get the exact coverages these people want you to get.
Conclusion. Sometimes it can be confusing navigating commercial insurances when just starting a business. Insurance Broker Resources can give you confidence when you work with them as your insurance brokerage. They can get you the insurances you will need, making sure that everything is affordable, especially when starting a new business.
