Heading a business can be a challenge and overwhelming as you are literally placing a majority of your finance on the line. Your business might be at risk before opening the door to your first customer or even the first employee.
A single lawsuit or an accident can have a devastating impact on businesses; small businesses might not even survive such a catastrophic event. Considering these facts, it should make sense to manage the risks, alleviate the uncertainty, and safeguard your wealth.
Choosing the right business insurance can turn out to be a lifesaving decision as it can be your ideal financial aid when you want it the most.
Types of business insurances in the United States can provide coverage to equipment, machinery, and disastrous events. All you have to do is to choose the right insurance while factoring in standards including business size, type, and more. This post features common business insurance types in the United States.
General liability insurance
Applicable for: All businesses
General liability insurance provides your business with coverage in case of claims or lawsuits claiming compensation for events including bodily injury, property damage, medical expenses, settlement bonds, and slander.
You will need general liability insurance when the damages occur during the course of your business.
Coverage available: Under the general business insurance type, you will have the option to choose coverage specific to small, medium, and large businesses.
Product liability insurance
Suitable for: Manufacturing and distributing businesses
If your business deals with the manufacturing and distribution of products as retail or wholesale packages, you should sign up for product liability insurance.
Instances of business taking every precautionary step to make its product safe and still being named in a lawsuit due to damages inflicted from the said product is not a rarity.
Coverage available: under the product liability business insurance scheme, you can choose will have the option to choose coverage tailored for the product type you are dealing with.
Professional liability insurance
Suitable for: businesses providing services
Professional Liability insurance or Errors and Omissions Cover offers coverage to businesses that offer services for a fee. This insurance type typically protects the business from negligence claims that might have been caused due to harm from mistakes or failure or negligence.
Coverage type: customized coverage addressing the concern of each industry is available.
Commercial property insurance
Suitable for: businesses possessing multitudes of properties and assets
Commercial business insurance offers coverage from unfortunate events including fire, wind, hailstorm, mold, water damages, vandalism, and civil disobedience.
Commercial insurance can be critical when your business is forced to shut down due to a catastrophic event and your employees cannot work due to the interruption which results in financial loss. This insurance type is often important for businesses that need a physical location to operate.
Home-based business insurance
Suitable for: Business run at homes
Homeowner’s insurance policy does not cover home businesses similar to coverage commercial property insurance entails. This is where a home-based business insurance policy can be the go-to solution. This insurance type provides additional coverage to equipment and inventory corresponding to home-based businesses in the event of an accident.
Business owner’s policy
Suitable for: small businesses especially home-based
Business owners’ policy can be your ideal choice in terms of suitability and affordability. This policy type typically encompasses all the coverage options into one hat.
Shopping for business insurance
When it comes to finding the right business insurance, it is ideal that you get expert advice and assistance from cover to claim. This is where Titan Restoration can be your one-stop resource.
We advise any potential business to consider the following four tips when it comes to choosing business insurance:
- Consider your business type, assess the risks and uncertainties
- Find a certified licensed agent
- Shop around
- Perform annual reassessments