Business Insurance

Whether you own a small business or a large one, the benefits of Business insurance are numerous.  And many business owners don’t take the time to assess their insurance needs.  With the many types of Business insurance available, determining which coverages will best protect the enterprise makes for a complicated and difficult process. 

But the consequences of not being properly insured can be disastrous, not only for the business but also for the business owner personally.  Although policies can vary based on the type of business that you own, the basics of Business insurance include the following:

• General liability insurance is highly recommended, regardless of the type of business that you own.  This coverage protects you against injuries that may occur to customers or the property that they own.  If a customer is injured in some way, this coverage will offset the costs associated with lawyers, courts, settlements, and judgments. 
• Professional liability insurance, also known as Errors and Omissions (E&O) insurance, is also an important part of any business’s insurance portfolio.  This coverage protects the business against any work that causes harm or financial loss.  As with general liability insurance, costs covered include any expenses resulting from a lawsuit, including unfavorable judgments.  The difference between general liability insurance and E&O insurance is that general liability protects you if someone is physically injured whereas professional liability protects you if your client claims damages from the services that you provide.
• Commercial auto or commercial truck insurance is another aspect of Business insurance that should be considered if using vehicles as part of your business.  Private passenger insurance will explicitly exclude any coverage for claims arising from the use of these vehicles for your business. 
• One common misperception regarding Business insurance is that sole proprietors who incorporate as a Limited Liability Company (LLC) are protecting their personal assets from any lawsuits.  And while this is generally true, there are some cases in which an LLC doesn’t protect the business owner’s finances from an unfavorable judgment.  As a result, it’s recommended that sole proprietors purchase the different types of Business insurance that would cover the services that their business provides.

The best way to determine what type of Business insurance you should purchase is to ask a licensed agent in our office.  We can assist you with assessing your insurance needs and provide you with some quotes from several of the top insurance companies.