Understand that "business insurance," also known as commercial insurance, encompasses all different types of coverages that you need to protect your business. You can cover your property, commercial vehicles, protect your business against legal claims resulting in liability issues and workers’ compensation.
Even if you don’t think your business has enough assets to be sued or you think you are protected from personal liability through the so-called "corporate veil," you still need insurance coverage for your business!
The reason is simple – in today’s litigious society, anyone can be sued resulting in judgements that can be collected through wage garnishments and bank account seizures. You need business insurance to help protect you and your assets from the many risks and potential threats to you successful and continued operation.
A well designed business/commercial insurance policy can help protect you and your business as much as possible. Here are a few types of business insurance you should consider:
- Property and Casualty Insurance: Property and casualty insurance is insurance that protects against property losses to your business, home or car and/or against legal liability that may result from injury or damage to the property of others. This type of insurance can protect a person or a business with an interest in the insured physical property against losses.
- Commercial Auto Insurance: Commercial auto insurance covers your business for loss or damage to vehicles used by your business and for damage to others caused by your business vehicles. Note that vehicles used for business are not covered under your personal auto insurance policy even if a vehicle is used for both business and personal purposes.
- Liability Insurance: Liability insurance covers you in the event someone sues you for negligence, which can occur, for instance, if someone falls on your property.
- Product Liability Insurance: Product liability insurance covers your business for damages caused by a product designed, supplied, or manufactured by your business.
- Business Interruption Insurance: Business interruption insurance can make up for lost cash flow and profits incurred because of an event that has interrupted your normal business operations.