Exceptionally Small Businesses Don’t Need Complicated Insurance Policies
Jaime Chaifetz June 11, 2019
Starting a small business, and keeping it running, doesn’t have to be complicated. You can keep it exceptionally small and quite simple if that’s what you want to do. You don’t necessarily need to rent a space, hire employees, or grow it into a huge corporation in the future. You also don’t need to have a complicated insurance policy, in fact, most exceptionally small businesses can get adequate protection from a simple policy. That said, you still need to protect your business and yourself, personally and professionally, against any potential liability.
Why Does My Small Business Need Insurance?
Every business owner is exposed to possible liability whenever they do business. If a client comes to you, for example, and slips and falls you will be held responsible for their injuries. If you go to your client’s home or office and cause any physical or property damage, you’ll also be held responsible. Of course, these are only two of the many scenarios that you could encounter. In every case, however, insurance provides you with the financial protection you need to compensate someone else for medical expenses, repairs, or other costs.
What Insurance I Should Have?
For most small businesses, General Liability Insurance is adequate. It’s considered the most basic type of business insurance and is generally the least expensive option. It covers claims made against your business for injuries and property damage. Therefore, if there’s an accident at your place of business, a client’s office, or any other location, you’re covered. It also helps you settle and defend against claims made. The amount of liability coverage that you should have depends solely upon your business needs.
What Additional Insurance Should I Consider?
It’s understandable that you want to cover all of your bases to ensure that you’re protecting your business to the best of your ability. While a General Liability Insurance policy will give you peace of mind, there are some other policies that you may wish to consider as well.
Commercial Property Insurance
Liability is only one of the concerns that New Jersey small business owners like yourself face. It’s also important to consider protecting your businesses assets. Whether you own a building, rent one, or use a room in your home, damage to your property can cause serious problems for your business. Commercial Property Insurance covers assets such as your computers, office furniture, telephones, inventory, and even other people’s property. The amount of coverage you should obtain depends upon your business and its assets.
Professional Liability Insurance
If your business provides any professional services, information technology solutions, advice, or recommendations to customers, consider a Professional Liability Insurance policy. This will protect you and your business in the event that a customer makes a claim against you based on actions they say harmed them or cost them money. Also called an Errors & Omissions policy, it covers your legal defense costs, employee and subcontractors, and yourself if litigation is brought against your business.
Cyber Liability Insurance
Whether you’re offering IT solutions or not, you’re likely keeping electronic records of clients and customers. Because of this, you’re responsible for ensuring that your network is secure and that the information is safe from data breaches, hackers, and losses. You may not be able to completely control these threats but you can protect your business with Cyber Liability Insurance Policy.
Business Insurance Made Simple
There’s no way for a small business owner to possibly know what will happen in the future. Litigation may arise from even the simplest transaction, damages and injuries can occur any moment. There’s no need to worry about it all on a daily basis, especially if you have adequate insurance coverage in place. Not sure what you need, or want some more information about business insurances? Please contact us and we will happily answer your questions and suggest a policy that suits your business needs.