There’s no one way to start a business. In fact, different business owners will have several tips and trick up their sleeves to help them skyrocket to success. However, there are some aspects in starting a business that every company should have and one of those pillars is having insurance.
When you start a business, one of your priorities should be ensuring that your company is well protected, and your commercial insurance can do that. With this, you’ll be covered by various policies that will help secure your business’s finances and assets. But for many newbie business owners, talks about insurance can be quite daunting.
If you’re brave and finally ready to start your own business, keep reading. This article is our beginner’s guide to commercial insurance—we will cover everything from why you should get it to the policies you need to consider. Let’s take a look!
Is It Important for My Business to Have Commercial Insurance?
If you want to protect your company’s assets, then yes, you need to get commercial insurance — it’s as simple as that. This type of insurance protects your property and savings, covering both your personal and business assets.
Business insurance covers liability lawsuits and property damage expenses, taking all the financial impact should an unfortunate event happen. These fees often include legal fees, such as attorney’s fees, court costs, settlement, and judgments, as well as repair and replacements in a property.
However, you should know that each business will be qualified for different insurance requirements, so it’s best to speak to a reliable insurance agency to know what’s best for you.
How Much Does Commercial Insurance Cost?
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Fortunately, there are affordable commercial insurance packages for small businesses, from paying $500 annually or $42 a month. Since a lawsuit can reach up to thousands of dollars, having an insurance policy is a cost-effective solution that could protect your business’s finances.
But remember, you don’t want to over-protect yourself, especially when some policies aren’t required for your business. With that, it’s best to consider your growth and make changes in your insurance policy along the way.
What are the Policies I Need to Consider?
Business Owner Policy
A business owner policy or BOP is general liability insurance and property insurance rolled into one convenient package for small businesses. This type of insurance policy covers third-party lawsuits over injury and property damage, product liability lawsuits, medical expenses for third-party injuries in your premises, and destruction of property.
Professional Liability Insurance
Professional liability insurance or errors and omissions insurance is vital if your business offers professional services. It protects you against claims that you made a mistake or failed to provide satisfactory service. This type of policy works best with architects, engineers, IT professionals, consultants, accountants, and similar professions.
Cyber Liability Insurance
Now that the digital world is growing rapidly, so is the number of companies that are being targeted by cybercriminals. Seeing that this is a growing concern, it’s best to consider having cyber liability insurance. This protects all sensitive information of the company and your clients, preventing identity theft and other cyber-criminal acts.
Commercial Auto or Hired and Non-Owned Auto Insurance
It’s always best to avoid using your personal assets, such as your vehicle, for business use. In that regard, having a company vehicle is essential in streamlining business operations.
If you use a company vehicle, it’s best to look into getting commercial auto insurance to protect your company vehicle. If you’re renting a car for your employees for work-related tasks, you should consider getting hired and non-owned auto insurance to protect them while they’re on the road.
The Bottom Line: Commercial Insurance is Vital Even for Small Business
A business is a business, no matter the size. And with that, it pays to ensure your whole company is protected with the right commercial insurance policy. With that in mind, it’s best to work with an insurance agency that can provide you with the best options that will help secure your business.
Can Quesurance Help Me?
Insurance can be pretty intimidating for many people. With the wave of policies to choose from, one can feel overwhelmed. Fortunately, insurance agencies like Quesurance are here to help you.
Quesurance is an insurance agency that serves Hopatcong and the surrounding New Jersey communities by protecting our clients like our own family. We offer various insurance policies, such as home, auto, flood, landlord, and commercial insurance.
Learn more about how we can protect you today!
