small business insurance

A Guide To Small Business Insurance

If you are running a small business, you must also know about the commercial insurances you might need for the safety of your small business. It is important to make the right choice about the insurance plan that covers all your needs. Choose the right insurance policy for your business that fits your needs and protects you and your workers in case of accidents, loss, or pertinent risk.

 

Types of small business insurance

Following are the basic types of insurance best for your business and your workers.

  • General Liability
  • Property Insurance
  • Small Business Health Insurance
  • Errors And Omissions Or Professional Liability
  • Workers’ Compensation

 

General Liability Insurance

A general liability policy is designed to help cover legal costs or any settlement amount if your business is in any legal problem.

It usually covers claims that are made on activities or operations of a small business, for example:

  • Bodily Injuries
  • Property Damages
  • False Advertising
  • Libel And Slander

General liability also helps you provide coverage for legal matters like paying for lawsuit costs, settlement costs, monetary and non-monetary damages, compensatory damages. These expenses are covered by your respective insurance company whether they are due to an employee or a class-action lawsuit.

 

Errors and Omissions Insurance or Professional Liability Insurance

Errors and omissions insurance also called professional liability insurance, is a type of small business insurance that can assist in defending a business against expenditures due to lawsuits and claims filed by customers and clients.

Professional liability insurance covers liabilities that might result as a result of risk factors in your business. It is always strongly recommended to get errors and omissions insurance for your small business to protect your business against any unforeseen major claims.

 

Small Business Health Insurance

  It is essential to take care of employees’ health to keep your business up and running. Health insurance covers the medical and emergency hospital costs of your employees and provides coverage for medical bills.

Small business health insurance, also known as group health insurance, provides medical coverage and health benefits to employees. Your company can be eligible for this insurance if you hire one common-law worker that is not the owner of the business, neither the owner’s spouse nor an independent contractor. Moreover, a business must register officially according to the state laws in which they are doing business.

 

Workers’ Compensation Insurance

Workers’ compensation insurance is designed for the management of expenses of workers in the workplace.  It covers the medical expenses of any employee who gets ill or injured during work. It also helps compensate partial wages for the sick employee or disabled one. This type of insurance can also help compensate the family of a deceased employee who died from any work-related injury.

 

Property Insurance

Property insurance provides coverage and manages costs of your property due to hazards like fire, earthquake, or vandalism. The physical disasters covered by insurance depend upon what are the contents of the package you choose for yourself. This type of insurance specially fits the business requirements that have a physical location to run their business. If you lose your property due to an accident or natural hazard, the insurance company covers all costs for its restoration along with the technology, furniture, and all the items required in it. The insurance company will pay for the restoration and repair of the building in case of any incident that causes damage to business property.

2 comments

  1. I’m glad you talked about general liability insurance. My aunt needs to get business insurance. This info should help her evaluate her coverage options!

  2. I found it helpful when you said that a health insurance policy can keep your business up and running by taking care of the employees’ health. This is a good type of policy for businesses that are planning to shop for business insurance policies. I could imagine how this type of policy can encourage employees to stay in the company for them to enjoy this kind of benefit.

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