Your business has many assets. These may include office space, vehicles, equipment, employees, products, inventories, and most importantly, yourself. Would you have sufficient finances to protect these assets if a business emergency were to arise? If your answer is no, it would be wise to talk to an insurance company about the types of insurance that your business needs.
Here are some examples of insurance that your business might need in relation to the financial obstacles it needs to overcome.
General liability insurance
Every business, no matter how small, needs to have general liability insurance. The policy for this type of insurance addresses both defense and damages in case you, your employees, even your products and services, cause bodily injury or property damage to a third party.
This type of insurance provides financial support for employees who are injured at work. Financial support generally comes in the form of wage replacement and medical benefits.
Errors and omissions insurance
This type of insurance (aka professional liability) provides defense and damages for when your company fails to render professional services. General liability insurance does not provide this protection, so it is important to note the difference.
Other insurance types that your small business will need include Umbrella/Excess, directors and officers, commercial auto, and commercial property.