Three reasons why you need small business insurance
If your small business operates on a tight budget you might be tempted to eliminate costs that you think aren’t necessary. Often small business owners choose to go without business insurance as a way of saving money, but doing so can be incredibly costly in the long run. We have access to insurance professionals that have proven to take great care with their clients, often finding holes in the current policies, and possibly saving money along the way.
Business insurance is something that may seem like an unnecessary expense in the short term, but is worth the cost now in case something terrible happens in the future. It’s better to spend some money to avoid paying a lot of money later, especially if there’s a chance you could face a lawsuit. Unfortunately, even the most diligent business owners could wind up dealing with clients who think they have been treated unfairly, or who injure themselves while at your place of business.
Here are three reasons you need small business insurance.
You have clients visiting your business
If you have an office, store or other facility that clients visit, you need general liability insurance to protect you in case a client is injured while on your premises. No matter how well you maintain your location, there’s still a risk of someone slipping and falling, and injuring themselves. If that happens, you could face a lawsuit. Your general liability insurance will protect you in that case.
You have a building or equipment
If your business owns a building or has valuable equipment, you need protection against damage to either. Damage to your building or your equipment can affect your ability to maintain your income, and if you have to raise the money to replace your equipment you could be out of income for a long time.
A business owners’ policy will protect you in such circumstances so you don’t have to put out thousands of dollars to repair or replace your damaged equipment or building. Don’t assume your homeowner’s insurance will cover any work equipment you keep in your home. It often does not, just as personal automobile insurance won’t necessarily cover the equipment you carry in your personal vehicle if it is stolen from that vehicle.
You offer professional services
No matter how good you are at your work, there is a chance you’ll come across a client who won’t be happy with the work you provide. Professional liability insurance protects you in case a client claims you provided negligent services or otherwise failed to uphold your end of a contract. If your business works with subcontractors, having professional liability insurance protects you in case a contractor makes an error or fails to perform.
We have access to insurance professionals that have proven to take great care with their clients, finding holes in the current policies, and possibly saving money along the way. Too many small business owners only learn how important business insurance is when they realize their home insurance doesn’t cover their business, or their auto insurance doesn’t cover theft of work tools from their personal vehicle. Unfortunately by then it’s often too late.
You’ve worked hard to build up your business, you shouldn’t lose it due to a lack of insurance. Despite your best efforts, you can’t foresee what sort of liabilities you may face in the future, and your ability to cover them with insurance may mean the difference between keeping and losing your company. Understanding what insurance you need and how it will protect you will go a long way to your peace of mind.