Protecting your company with business insurance is key to making sure you will still have a viable business in the event of some disaster or lawsuit. Commercial insurance can protect entrepreneurs against a wide array of risks associated with running a business. Here are the most common types of coverage to consider:
In the same manner that you protect your home and personal property against the risks associated with fire, theft, or storm damage, your business should also carry property insurance. Regardless of whether you own or rent your space, you should protect your business assets, such as furniture, computer equipment, etc., against these same threats.
For companies that manufacture products for sale to the public, merely ensuring that the item you make is safe in every possible manner is not necessarily enough to protect your business against lawsuits filed due to damages caused by your product. As such, product liability insurance will protect your specific manufactured item against customers suing your business for damages associated with its use.
In the event of a mistake or failure to perform, professional liability insurance, also known as errors and omissions (E & O) coverage, protects you against claims of negligence owing to mistakes and failure to perform as promised. Since every industry has different concerns, a customized policy written specifically for your type of business would be best.
Business interruption insurance will protect your income should some type of catastrophic event disrupt your business activity. This can be an especially important consideration for individual entrepreneurs.
Comprehensive insurance policies will protect your business against liability risks in case an accident occurs. Businesses should have third-party injury coverage for their vehicles at a minimum. Using your personal vehicle for commercial purposes without commercial vehicle insurance can leave yourself exposed to risk.
If your business is a home-based concern, check with your insurance broker to talk about expanded commercial insurance coverage. A typical homeowner’s policy does not usually cover against losses of business related equipment and inventory, so getting a full idea of your coverage options is critical to your ongoing business success.
Matching your needs with the right insurance coverage will protect your business against the risk factors you are most likely to face. To learn how to limit your liability, contact Sean McNamara at Mitchell & Whale Insurance Brokers today at 1-800-731-2228 or email me at firstname.lastname@example.org. I’d be happy to help you with any type of commercial insurance you may need.
Want to add to this story? Let us know in comments below! Mitchell & Whale is a fast-growing insurance brokerage in Ontario, striving to make insurance _not suck_ one customer at a time. Give us a call today to discuss any of your insurance needs at 1.800.731.2228.