When you run your own business operation, it is important to build a sufficient safety net to protect your financial investments. There are many different options when it comes to business insurance, and it behooves your organization for you to be knowledgeable on them all.
The more you know about the array of options available to your business, the more adequately you will be equipped to choose the policies which best support your organization’s longevity in the industry. Here is a brief overview of a few of the most important insurance options for responsible business owners.
Workers’ Compensation Insurance
Anywhere you conduct business in the United States, it is legally your responsibility to hold a workers’ compensation insurance policy. The specific stipulations of each state may vary slightly, but it is required by law.
Whenever you run a business which requires you to hire employees, you are responsible for their physical well-being while they are on the job. Your workers’ compensation package will cover the financial implications involved when an employee is injured on the job.
Product Liability Insurance
Even the most perfectly run operation can produce a faulty product from time to time, and your company is liable for any damages your faulty product may have caused. Negligence cases can not only take valuable time away from your business, but they can be extremely expensive.
If someone is hurt because of something your business produced, you need financial assurance that the issue will be rectified. A product liability insurance policy will secure your organization’s future should some unfortunate mishap occur.
Business Interruption Insurance
Business interruption insurance is especially beneficial to organizations which run a physical location. Should something terrible happen that causes your organization to be unable to conduct business, your business interruption policy will financially compensate your organization.
Employees, vendors, and many others involved with your operation could lose a large amount of money in the event of a disaster, and you could be on the hook for it all. Business interruption insurance will afford your organization the capability to compensate all of the individuals affected by your crippled operation.
Another valuable insurance policy for those organizations which run a physical location is property insurance. Every business has some extent of property which is involved in completing the tasks of your business. Those with a physical location (like a retail store) stand to lose much more.
Professional Liability Insurance
Professional liability insurance protects against professional mishaps. You cannot always predict how your employees will conduct themselves, and that is why you need a professional liability policy.
If someone on your payroll gravely mistreats a customer, your business could face some serious financial consequences. Skip this step, and procure a professional liability insurance policy today.