Business insurance is a very broad term. It actually refers to any type of insurance package that is put together to protect a business from things like employee liability, liability to customers, and unemployment insurance. Finding the right business insurance for your business can be tricky, but at least some types of business insurance a required by the government in order for you to operate your business. Here are some of the different things that might be covered under business insurance:
Liability
Everyone knows these thats that liability is a big issue. People are sueing other people like crazy, and businesses are the ones who may take the brunt of this societal trend. You can be held liable for all kinds of things, such as injuries to your employees, injuries to customers who just happen to be on your property, and even injuries that are caused off of your property by your products or services. This is not even to mention things like liability for the work you do.
If you own a business that is in other people’s homes working on plumbing or building or electrical work, you’ll have to have liability insurance that will cover you in case one of your employees breaks or steals something in a client’s home, and you’ll have to have insurance that will cover you in case an employee messes a job up in such a way that it causes personal injury or property damage to a client.
State Mandated Coverage
Different states will require you to carry different types of insurance under your business insurance plan or plans, but most states will have these basic requirements:
Unemployment Insurance: This guarantees that if you have to lay employees off for a certain amount of time or for good that they can draw unemployment checks for a certain amount of time. Because this protects your employees, most states will require that you carry this type of insurance.
Worker’s Compensation Insurance: This type of insurance allows you to be able to pay for employee’s medical costs if they are injured while on the job. Worker’s compensation insurance will be more expensive in dangerous industries like contracting and in places where workers deal with heavy machinery, but every place of business needs to have worker’s compensation insurance because you just never know what might happen.
Social Security: This, too, is a type of insurance. Even though it might be going by the wayside as inordinate numbers of baby boomers retire, you’ll still have to have social security insurance for the good of your employees.
Depending on your business’s particular needs, your business insurance policy may also include things like coverage for the buildings that house your business and extra liability insurance above and beyond what is normally required. To get the best idea of what sort of business insurance you need, check with a legal advisor or an insurance agent, who will be able to help you get the best business insurance for your business.
