As a small business owner, you will do everything in your power to protect your business, especially right now. With starting a small business comes many risks, so it is imperative that you insure your business in several different avenues. Take a look below and learn which insurance types are necessary for every small business owner.

Property Insurance

Whether or not you own the space your business is operating in, you need property insurance. Why? Well, this type of insurance will protect your business’ equipment, signs, inventory, and items inside the building from certain emergencies, such as general natural damage, a fire, and theft. No matter your small business’ industry, it is highly recommended to invest in property insurance for the safety of your business and belongings. Below is a list of some of the items covered by property insurance:

  • “Personal property located at your business
  • Tools and equipment you use for business
  • Inventory stored at your office or warehouse
  • Furniture, such as couches, desks, chairs and tables
  • Computers you use to run your business
  • Accounts receivable and other important documents
  • Outdoor landscaping, like fences”

(Source: The Hartford)

Liability Insurance

Your business needs general liability insurance in the events of a lawsuit in which claims that your business caused a personal injury amongst someone else or damaged someone else’s property. Not only does your business need general liability insurance, but professional liability insurance is also necessary for coverage on mistakes made by your employees (i.e. clerical work, travel).

Worker’s Compensation Insurance

If you are a small business owner, it is likely that you have employees helping you run the show. If your employee gets hurt, becomes disabled as a result of working for your business, or even passes away, this type of insurance will provide coverage. Worker’s compensation insurance is used to give benefits to your employees should something happen to them, and it also protects you as a small business owner in the case of a lawsuit.

Business Interruption Insurance

With everything going on right now, this is the type of insurance you need to make sure your business has. Business interruption insurance covers when a catastrophic event occurs causing your business’ daily operations to be put on hold. This is the type of insurance that will help your employees if they are unable to work in the office or generate sales.

With every business comes the need for insurance. These four types are NOT the only types of insurance we recommend your business having; there are plenty more. The four types of insurance described above are the essentials that we recommend having. If you are a small business owner and are looking for more advice regarding the types of insurance you may need, give us a call! We would be happy to help you plan for your business’ financial future.