When you have a business you need control. Business insurance helps you be in control when things over which you have no control try to control you. There are four aspects to business insurance:Employee Insurance, Business Interruption Insurance, Liability Insurance, Property Insurance. Employee insurance is basic. If you have employees, you need to have Worker’s Compensation Insurance. Most states mandate this. The other type of insurance to consider for employees is health insurance. Health insurance is used to attract high value employees.moe info Absolute Insurance
At the very least, the business owner should have health insurance. If the owner has to cover high health costs for him or herself or for any of their family members, it could put undue strain on the business finances. And if the health situation is severe enough, it could lead business interruption. Health insurance will not cover that cost.
Business interruption insurance provides cash flow when your business can not produce revenue due to a covered cause. A fire or natural disaster may destroy your place of business. But to stay in business, you need to keep covering expenses, such as payroll, while you are recovering from the event. The problem is that your business is producing no cash. With proper business interruption insurance, this is not an issue.
Sometimes someone blames you for doing something wrong. Or perhaps, you did make a mistake. The person wants to hold you liable for the damages your actions caused. Or, you may have to defend your actions. This is the purpose of liability insurance, to cover the costs of lawsuits and monetary claims field against the business.
Finally, there is property insurance. If you own property, you can cover it with property insurance. Property does not pertain only to buildings and physical structures. Any piece of office equipment, machinery, etc. is property. If these things are either stolen or destroyed, they need replaced. You can cover the expense yourself (self-insurance) or you can cover yourself by buying property insurance.
The above four things are typical of insurances required by small business. There is actually more to it than that. The type of coverage, and the amount of coverage, depends on the type of business you have. To know what is available, it is best to talk with an insurance agent. The more you let them know about your business, the better they can tailor your coverage.