The freedom and sheer exhilaration that comes from owning a small business are unlike any other. This is a project that is truly and irrevocably yours, and to plant the seeds of your idea, nurture it, care for it and see it bear fruit is one of the most unique and satisfying feelings you can ever experience. Here are some insurance solutions for you.
Building up a business has its challenges though, being in complete and indisputable control is as much of a responsibility as it is a luxury, and you need to understand that every action you take, every decision no matter how trivial it may seem can have massive ramifications on your business.
The risk factor then is massive, and the problem with being a business owner is that the liability is unlimited, which means if you run up a debt that can’t be repaid from the company’s books, then your personal belongings such as property, vehicles, investment portfolios, and cash reserves can all be accessed and utilized to pay off said debt. There’s also the off chance of a freak incident that can wipe your business out, say a hurricane, or a fire, a security breach, or even a data server failure. While the risks may be great, so is the reward, however, as being the business owner, if you’re successful, the net profit is all yours.
What’s more, thanks to a variety of Insurance options on offer, you can mitigate all the aforementioned risks and beyond, creating a secure safety net for the situations where your business could falter.
Here are some of the essential business insurance solutions for owners
Business owner’s policy.
A bundled policy that will have your basics covered, this policy tends to include a variety of optional coverage such as vehicle insurance, liability insurance, crime insurance, and many more besides. Furthermore, these policies can be tailor-made to include clauses, stipulations, and coverage depending on the needs of each individual business, and since a variety of policies are purchased as a collective; it ends up costing less than what you’d have to pay for each policy individually. The only real downside is that you might miss a certain clause or coverage option due to a lack of knowledge or experience, which will could come back to haunt you.
General Liability Insurance.
No matter what business you do or where you execute it from, even if you’re a housewife who sells handicraft products from her basement, you need general liability insurance. If your products, or you, or your employees even cause someone injury or bodily harm, real or imagined, this policy will provide for defense against such an accusation, and compensate for damages if any too.
Property insurance.
If you own any business property, not just in terms of the land of buildings, but hardware, equipment, furniture or electronics, and they are damaged, stolen or destroyed in a fire or due to smoke; they will be recompensed for according to the terms of this policy.
Directors and officers insurance.
As the owner of the business, you qualify under this ambit of this policy. In accordance with the terms of this policy, if you or any other high ranking member of your firm is caught in a legal tussle as which can possibly affect your job or your business, you will be protected by it.
Data Breach Insurance.
With the recent trend of hackers setting their sights on small businesses, if your firm falls prey to a malicious attempt at data theft or hacking, the insurance provider will provide funds to cover this. This is also applicable for data losses succumbed through physical means such as theft of documents.
Worker’s compensation as one of insurance solutions.
Mandatory to a certain degree in all states, the strictness of the enforcement of the law that makes it compulsory is arbitrated individually for each state. This is a kind of medical policy where employees are provided with coverage in case of injuries suffered on the job. Employees also waive their rights to sue for punitive damages in such situations in lieu of this insurance policy, so it’s a potent policy to have in your company’s insurance arsenal regardless of the possible ramifications you could face from the government due to non-compliance.
These insurance policies combined will give you thorough coverage for most businesses, but there are others available too that should be explored based on the needs of your business. There is no one-size-fits-all solution to business insurance and research must be carried out to ensure foolproof coverage for your firm.
Here it is imperative to point out too, that who you choose as the insurer is as important as what your policy dictates, and only reliable companies with a reputation. There are plenty of insurers to take your pick from – the important thing is to protect your assets and not have to see the day when you have to close shop all because you didn’t cover your bases.
