New Jersey Business Insurance Frequently Asked Questions
Unsure what types of business insurance you need to cover your risks?
Whether you need business insurance in New Jersey, other states or nationwide, you need to be able to identify all risks to your business and determine which ones are most significant. Below is a comprehensive set of frequently asked questions to guide you in thinking about small business insurance
As a business owner, why do I need to consider risks?
Running a business is risky! Nine out of ten businesses fail within a few months of launching. Many factors outside the control of the business owner can influence the success or failure of a new or long standing business. Just look at the automobile industry. Once strong companies like General Motors and Chrysler are now struggling to survive. As a business owner, you need to think about potential risks to your business and how to mitigate them to improve your probability of success.
Knowing the risks inherent to your business and developing a plan for dealing with them will help protect your business from unexpected losses and changes in revenue.
What types of risks do I need to consider for business insurance?
A lot of factors determine how to conduct your risk analysis including the size of your company, the services you provide, your location, experience, and the industry you work in; just to name a few. There are three main categories of risk
- Operational risks
- Risks involving your employees
- Business ownership risks
What are operational risks?
Operational risks can include:
- Property damage
- Employee theft
- Business interruption (your business has to close for some reason)
- Liabilities (including injuries to customers or to others)
- Errors and Omissions
