Every business is going to be different, just like the people who are behind that business, doing their best to expand, innovate, and grow. Some people might be entrepreneurs just starting out with a critical skillset they offer. Others are part of established businesses that have grown enough that they are now transitioning to a medium or even large-scale operation.
With all this variety across different industries, every business has unique needs, especially when it comes to insurance. And while some companies may be more product, service, retail, or industrial oriented, they all have one similar need: financial peace of mind. So while your business might need additional or particular coverage, here are some insurance policies that every company should consider no matter what the industry!
General Liability Insurance
Every business should always be looking at general liability insurance as the first line of defense because it's such a broad "shield" of different conditions that you might not even be aware you need. General liability insurance runs the whole range of contingencies, including: property damage, medical expenses, and bodily injury.
However, what you might be surprised to know is that beyond the normal conditions, there are other things that a good general liability policy can also protect you from. These extra features include libel or slander, legal costs for defending against lawsuits, and even post-legal financing like settlement bonds or the judicial process required for an appeal. If you ignore general liability insurance, you'll deny yourself comprehensive protection against a variety of possible scenarios.
Don't be fooled by the name! Even if you're just starting out as a business and working from home, and you are thinking to yourself, "I don't have an office, so I don't have any property that needs insuring," then you do not see the big picture! Property insurance isn't just about protecting the real estate your business may be on; it is also about the equipment on the property that is essential to your work. Your telephone, your computer, the signage that you may have, the furniture like desks and chairs are all things that are considered the property of your business.
Property insurance will protect you from theft, or even more severe, natural catastrophes like earthquakes and flooding, depending on your area. It’s an important, more specific form of financial protection.
Workers compensation can be especially crucial for people who focus on businesses with inherently higher risks, such as industrial-based enterprises like construction or manufacturing. With skilled, valuable workers who can do everything from using plasma cutters to working with volatile gases, accidents or even death may occur unexpectedly. Workers compensation takes care of both you and your valuable workforce in the unfortunate case of injury, health problems, or death.
If your business manufactures or distributes products for use by the general public, product insurance can be an enormous help in the event of defective product discovery. If that product actually causes injury or other harm, the possible financial ramifications, especially if a product recall is required, can be enormous in this situation. Product insurance will help you through all the stages of a recall. This type of insurance can sometimes be tacked on as an additional piece of coverage to property insurance, under the right circumstances.
Business Interruption Insurance
Sometimes certain events far beyond anyone's control can have a massive, disruptive effect on your ability to conduct business. A hurricane resulting in the flooding of your area, for example, may require you to shut down operations. These interruptions do, of course, incur a significant loss of income because you are no longer doing the work that brings in revenue, but may still have certain financial obligations, such as salaries for employees.
Business interruption insurance is a form of financial protection that provides financial aid while your business is unable to operate fully. So while you are in the recovery period, repairing infrastructure so your employees can return to work or your facilities can resume manufacturing, or even waiting for the phone lines and internet to be restored so your sales staff can resume, your losses are being mitigated.
Every business, regardless of its focus, requires some kind of insurance. Big or small, it can mean a world of difference when the unexpected happens. So make sure you're prepared, instead of being caught unaware and financially insolvent as a result. If you're looking to discover more about these policies and what they can do for you, then contact our independent agents at 888.461.9635.
LCK Insurance Agency is one of California's most prominent independent insurance agencies. They offer commercial business insurance, employee benefits, life & health insurance, and personal insurance.
Need more Specific Advice?
Tell us about your exposures, and we'll write an article about how we would mitigate your risk.
Leap | Carpenter | Kemps Insurance Agency provides Commercial Business Insurance, Employee Benefits, Life and Health Insurance, and Personal Insurance to all of California, including Merced, Atwater, Los Banos, Mariposa, Madera, Fresno, Modesto, Turlock, and Stockton.
CA License Number 0646081 | Licensed to do business in California, Arizona, Hawaii, Idaho, Montana, Nevada, North Carolina, Oklahoma, Oregon, Virginia, West Virginia and Washington.