Every industry has its own definition of what a small business is. If your company fits into the right category, you need to be certain you maintain proper levels of small-business insurance. Otherwise, your small business could find itself dealing with avoidable headaches and expenditures.
What type of insurance for a small business like yours do you need? Several are important for all small businesses, and some are only applicable in specific cases.
General Liability Insurance for Small Business
No matter what your business is or where it’s located – even if it is based in your home – you need the protection that comes with general liability insurance. General liability insurance gives you coverage against a wide range of damages, including bodily injury, libel and lawsuit defense costs.
Because your small business is unique from other small businesses, you should always speak with your insurance agent to discuss possible add-ons. An add-on will provide coverage as part of your general liability insurance that pertains to your company’s needs. This could include protection for your business properties, even if they aren’t under your corporate roof at the time the damage occurs.
Professional Liability Insurance for Small Business
Professional liability insurance covers what general liability insurance does not. Namely, anything that falls under the categories of error, negligence or malpractice as defined by your industry standards. Professionals in the fields of law and medicine are required to carry professional liability insurance. If your small business does not fall into a regulated category, you may still want the protection of professional small business liability insurance.
Property Insurance for Small Business
Have you ever worried about what would happen if your costly equipment, including computers and machinery, were damaged? Property insurance helps you recover expenses related to the damage of furniture, technological assets and more. Don’t assume your home insurance policy will cover these damages if you work out of your house.
Other Types of Insurance for Small Business
In addition to the three types of insurance mentioned above, many small businesses opt for:
- Commercial Auto Insurance – If you have a fleet of vehicles, or you provide your employees with vehicles, commercial auto insurance will give you protection.
- Workers’ Compensation Insurance – This is necessary if you have employees who are considered W-2 workers, rather than working on contractual bases.
- Data Breach Insurance – Does your small business handle sensitive information pertaining to clients, employees, vendors, etc.? A data breach insurance policy will offset costs if that information becomes public or falls into the wrong hands.
Sitting down with your insurance provider will help you better understand the right liability insurance for your small business. Call Strock Insurance today for an appointment at any of our local central Pennsylvania offices.
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