Planning and hard work got your business this far. Shopping for small business insurance should be easy, because you have other things like deadlines, materials and employees to worry about, however sometimes it’s a challenge.
Protect what you have and find the right insurance for your small business with steps recommended by the U.S. Small Business Administration (SBA):
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What are your risks?
Accidents, natural disasters, or lawsuits could be a risk to your business. Preparing for emergencies, by creating a response plan. A response plan may help you determine risks, so every aspect of your business is covered.
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Build a relationship with a trusted insurance agent.
Commercial agents can help you find the right coverage for your needs. An independent agent can quote multiple companies to find you the best policy for your business.
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Re-assess every year.
As your business grows, so do your liabilities. If you have purchased or replaced equipment or expanded operations, you should contact your insurance agent to discuss changes in your business and how they affect your coverage.
What insurance does a business need?
The federal government requires the following types of insurance for small business:
- Disability insurance coverage
- Unemployment
- Workers compensation
Fulfilling these requirements is a good start, but don’t forget that unexpected costs can arise for your business.
You should also plan and protect against any peril that you can’t afford to recover from on your own. This may include things like lawsuits, natural disasters, fires and accidents.
There may be additional insurance specific to your business.
Many companies offer a variety of coverages bundled together and sold as a package. They are often referred to as “plus packages” and are typically less to purchase than each coverage individually. Some coverages that are included in these packages:
- Water back up from sewers and drains
- Employee dishonesty
- Outdoor property
- Business income and extra expense
